Reps. Thomas Massie (R-Ky.) and Matt Gaetz (R-Fla.) introduced a bill on June 18 that aims to amend the Internal Revenue Code of 1986 to make tips exempt from income and employment taxes.
This legislative proposal, titled the “Tax Free Tips Act of 2024,” is designed to alleviate the tax burden on individuals who rely on gratuities as a significant portion of their income.
“As the cost of living continues to rise, the hardworking men and women in the service industry, many of whom may be working a second job to make ends meet, must be allowed to keep every dollar of tip money they earn,” Mr. Gaetz said in a statement after filing the legislation….