MAGA Rep Admits Trump Scammed People With Budget Bill

[Grokmaster]

I read the no tax on tips provision only is available for servers who make under 25K and itemize their taxes. That is a non-existent group. Trump is all smoke and mirrors. Of course, he had nothing to do with the crafting of the big ugly bill. It is likely Stephen Miller is in charge.

Wrong as usual; it allows for deducting up to $25,000 in TIPS, not total income. Twit.

 

[Dutch Uncle]

Given Musk’s short span of attention, three months from now his third party project could be forgotten, or, one phone call from Trump giving him more subsides and they could be the best of friends again, I wouldn’t bank on him being much of political entity going forward

I'm not so sure. He was pretty pissed off about the BBB. Additionally, like most of his projects, he'll just hire people to run it.

 

[Dutch Uncle]

I read the no tax on tips provision only is available for servers who make under 25K and itemize their taxes. That is a non-existent group. Trump is all smoke and mirrors. Of course, he had nothing to do with the crafting of the big ugly bill. It is likely Stephen Miller is in charge.

Not a tax guy, but from what I'm reading, it's $25K on tips alone but there are other qualifications and/or caveats:

New 'No Tax on Tips' Bill Approved for 2025: What to Know Now

Will you stop paying taxes on your tip income this year?

www.kiplinger.com

A Deduction for Cash Tips: Workers in qualifying tipped occupations can now deduct up to $25,000 of those tips from their taxable income for tax years 2025 through 2028.

Who’s Eligible? The deduction is available for specified workers making up to $150,000 a year ($300,000 for joint filers). The income limit will be adjusted for inflation....

...What the No Tax on Tips bill doesn't do​

Despite the excitement over this change, there are some things the OBBB doesn’t cover.

The bill only applies to cash tips. However, for IRS tax purposes, literal cash tips, credit card tips, and tips made through electronic payment methods like apps are traditionally treated the same. Non-cash tips are still considered taxable by the IRS but are not covered under this bill.

• Also, there’s no payroll tax break involved. That means you will still pay Social Security and Medicare taxes on your tips, even if you claim the income tax deduction.
• And…not everyone will benefit. About a third of tipped workers reportedly make so little they don’t owe federal income tax.
• Other workers, like cooks, dishwashers, or other behind-the-scenes staff who don’t usually receive tips, won’t receive a tax break under this bill either.