YoThatsFed OP t1_j5vfsco wrote on January 25, 2023 at 9:02 PM

Reply to comment by AdMore3461 in The transition to digital currency is terrible for homeless people. by YoThatsFed

I don’t think tips should be taxed really, it’s like a gift for doing good, don’t get taxed on gifts generally.

AdMore3461 t1_j5vgvrm wrote on January 25, 2023 at 9:08 PM

Yeah, I’m not mad at anyone underreporting tips on taxes either. I think the US tip/pay system is junk and needs to be scrapped anyways.

YoThatsFed OP t1_j5vizpa wrote on January 25, 2023 at 9:21 PM

The US tipping/waiter pay system is terrible, it should be illegal to have the majority of wages be tips.

Even in Europe I think tips shouldn’t be taxed though.

Sentsuizan t1_j5y5uqg wrote on January 26, 2023 at 11:15 AM

But you do have to pay taxes for gifts over a certain threshold. In a practical sense it only ever applies to things like cars and very expensive items.

YoThatsFed OP t1_j5y9gja wrote on January 26, 2023 at 11:58 AM

That’s why I said “generally”, there are exceptions of course.

Sentsuizan t1_j5y9op7 wrote on January 26, 2023 at 12:00 PM

Well yeah, and one of those exceptions is hundreds of dollars worth of tips that you get as part of your income.

YoThatsFed OP t1_j5ya1yz wrote on January 26, 2023 at 12:04 PM

You’re once again talking about the US, tips in the UK aren’t “hundreds of dollars” forming a large part of your income.