The Internal Revenue Service just published the official list of what occupations can deduct tips. More than 68 occupations and eight industries qualify. But if your job isn’t on the list, you’re out of luck.
It’s a preliminary list, because workers had until Oct. 22, according to the Federal Register, to comment and plead their case. But who’s on the list? And exactly what does it mean when it says no taxes on tips?
Occupations That Can Deduct $25,000 in Tips
According to The Budget Lab, roughly 4 million workers are in tipped occupations. That includes 2.5 percent of all employment. These occupations include numerous industries.
Anne Johnson
Author
Anne Johnson was a commercial property and casualty insurance agent for nine years. She was also licensed in health and life insurance. She went on to own an advertising agency, where she worked with businesses. She has been writing about personal finance for 10 years.
