💵 No TAX en Tips: Lo Que REALMENTE Dice la Ley – ¡NO es lo que crees!

💵 “No Tax on Tips” – Will you no longer pay taxes on your tips? The short answer is: not exactly. The right answer can help you maximize your refund or get you into serious trouble with the IRS if you do it wrong. In this episode of Edward Lantigua's "Este Lado," Edward Lantigua, EA, NTPI Fellow, explains how the new tip deduction under Section 224 of the IRS, created by the One Big Beautiful Bill Act (OBBBA) and valid only between 2025 and 2028, actually works. 🚨 This episode is KEY for servers, hairstylists, drivers, baristas, freelancers, business owners, and tax professionals. 📌 In this episode you'll learn: ✅ What exactly the "No Tax on Tips" deduction is ✅ Which tips qualify and which don't (most people don't know this!) ✅ Who qualifies: employees vs. self-employed individuals ✅ Why you still have to pay FICA or SECA ✅ How to properly report your tips to the IRS ✅ What documents you need to claim the deduction ✅ Eligible industries and excluded sectors (SSTBs) ✅ Practical examples: Who can claim it without worry? ⚠️ Important warning: "No tax on tips" does not mean tax-free income. 👉 Only applies to voluntary, reported tips in approved occupations 👉 Without documentation, the IRS may disallow the deduction 💵 Deductible Tips: What the IRS Actually Allows ✔️ Up to $25,000 per year if you qualify ✔️ Requires voluntary and properly reported tips ✔️ Different rules apply for W-2 employees and 1099 contractors 🚫 Do not qualify: Automatic or mandatory tips Unreported tips Tips in sole proprietorships or partnerships 🔍 Common Mistakes That Lead to Audits ❌ Thinking any tip qualifies ❌ Not reporting everything to the employer ❌ Not properly separating personal and business income ❌ Deducting without supporting documentation ❌ Misinterpreting what “No Tax” really means 👉 If you can't prove it, the IRS will disallow it. 🎓 Pro Tax Zone – Official Community on Skool This topic is covered in depth within Pro Tax Zone, our private community on Skool, where you'll find: ✔️ Recorded classes on tips and deductions ✔️ Real-life audit cases ✔️ Qualifying occupation lists ✔️ Guides for employees and the self-employed ✔️ An active community of tax professionals 🚀 Join Pro Tax Zone on Skool: 🔗 https://www.skool.com/protaxzone (This topic is part of the module on income and special deductions) 📲 Follow us on Social Media 🔹 Instagram: @edwardlantiguaofficial 🔹 Instagram: @reactiontax 🔹 YouTube & Facebook: Edward Lantigua Official 📢 ​​Real content on taxes, deductions, and tax strategies — no shortcuts, no fluff. 📢 Resources and Contact: 📌 Schedule a consultation: https://booknow.reactiontax.com 🌐 Website: https://reactiontax.com 📧 Email: [email protected] 📞 Phone: 212-304-1279 🔔 Subscribe, like, and share this episode. This topic will be one of the most audited between 2025 and 2028. Get informed and protect yourself! #NoTaxOnTips #TipDeduction #OBBBA #IRS2025 #EdwardLantigua #ProTaxZone #SkoolCommunity #TaxProfessionals #SelfEmployed #Waiters #Baristas #Hairstylists #IRSTips #IRSAudits #PodcastInSpanish√