Here in Nevada there is a tip tax taken out of our paychecks. It can total up to half of our wages. Is it like this nation wide? also I feel that if the rich and bussinesses get a tax cut to put more money in there hands why not the same for lower income folks. As far as I'm concerned if you work a job where you get tips it usually pays low wages. more money in rich peoples hands should mean more money in poor peoples hands.
2006-10-11 04:20:38 · 5 answers · asked by olampyone 4 in Business & Finance ➔ Taxes ➔ United States
be it known that not everyone can gain a rich slot in life. Nor am I grudging anyone anything. I only require equal treatment by my government. and to all you silver spooners, consider this if the plankton isn't healthy the system dies. Example If you engineer a washing machine and I can't buy it that makes you as worthless as you think I am
2006-10-11 08:33:01 · update #1
For your Federal income tax, tips are included as regular income. Most states that have income taxes start from Federal AGI (adjusted Gross Income). This would include tips. Ohio doesn't have a special tax on tips. I don't know about other states.
2006-10-11 12:44:24 · answer #1 · answered by STEVEN F 7 · 0⤊ 0⤋
I was going to explain how tips are just as much earned income as regular W-2 income. I was going to say it wouldn't be fair to ignore tip income because some poor people don't get tip income (McDonald's) and some rich people do get tip income. I was going to say how even though tips are considered income, it doesn't necessarily mean that you will pay income tax on it, and in fact, you may not only get back all of your withholding, but you may also get additional credits which would mean you are getting more back from the IRS than you paid in. I was going to mention how lucky you are for living in Nevada that doesn't tax any income. I was going to say that you, too, could have a great job making high income if you studied in school and applied yourself though out life. But, based on your tone of voice in your question, you wouldn't appreciate any of it. It sounds like you are bitter at what "life dealt you" instead of thinking "what can I do to improve my life." It seems as though you'd spend all your energy degrading someone else for making a good income instead of spending that same energy on improving your own situation. So, I guess I just keep my big mouth shut and let you continue living your miserable life oblivious to the fact that you are responsible for your situation and that you (and only you) can change things if you put your mind to it instead of just complaining about it.
2006-10-11 05:54:57 · answer #2 · answered by TaxMan 5 · 2⤊ 1⤋
yes, they began taking out 'tip' taxes because tips were un/under reported on income tax returns
tips are considered taxable income
2006-10-11 04:25:09 · answer #3 · answered by Pam 5 · 2⤊ 0⤋
Nation wide..The IRS doesn't do states differently
2006-10-11 04:23:37 · answer #4 · answered by dwh12345 5 · 2⤊ 0⤋
No such thing in Oregon. Must be a state tax Nevada does.
2006-10-11 04:24:38 · answer #5 · answered by fat_albert_999 5 · 1⤊ 4⤋