Search Results: keywords:"earned income credit"

  • H. R. 7870 — To amend the Internal Revenue Code of 1986 to provide that certain tips shall not be subject to income or employment taxes for a period of 5 years.
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    Status:Introduced in House
    Words:724

    H. R. 7870, known as the “Tip Tax Termination Act,” proposes changes to the Internal Revenue Code of 1986. This bill aims to exempt certain tips, up to $20,000 annually, from being subject to income and employment taxes for five years starting after December 31, 2023. It...

    Simple Explanation

    The "Tip Tax Termination Act" is a new rule that says people who get tips at their jobs, like waiters or hairdressers, don’t have to pay taxes on tips up to $20,000 each year for five years. This means they get to keep more of the money their customers give them when they do a good job!

  • H. R. 558 — To amend the Internal Revenue Code of 1986 to provide that certain tips shall not be subject to income taxes for a period of 5 years.
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    Status:Introduced in House
    Words:518

    H.R. 558, also known as the “Tip Tax Termination Act,” proposes changes to the Internal Revenue Code of 1986 that would exempt certain tipped wages from being counted as taxable income for a period of five years. Specifically, this bill would allow individuals to exclude up to $20,000 in...

    Simple Explanation

    The "Tip Tax Termination Act" wants to give a special break to workers who get tips, like waiters and hairdressers, by not making them pay taxes on up to $20,000 in tips for five years. This means they can keep more of their money when paying taxes, helping them save and take care of their families.