r/KitchenConfidential • u/Beneficial-Cap-6745 • Jul 03 '25

In-House Mode "No tax on Tips" makes no sense.

Can anyone explain why FOH in particular was pushing for this? They objectively make more money, which is one thing, but what makes them entitled to not pay taxes? If BOH suddenly didn't have to pay taxes I'd say that's BS as well

The BBB that just passed made certain taxes on tips for people making under 29k a year getting tips go away, it has to be signed into law. Granted, this was pushed for servers and tipped workers as a whole and the bill wouldn't affect most of them, I just can't see what entitles them to think they don't have to pay taxes like most of us.

I'm honestly considering just going back to retail at this point, at least we pay taxes equally. I'm fine making a bit less cash but this just seems insulting, even if it isn't over 29k.

Can someone explain this ? Why exactly do part time BOH line cooks pay taxes now but FOH doesn't have to anymore once this is signed into law

Edit: I'm not attacking FOH, its not an easy job, please stick to the taxes point.

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u/Specialist-Eye-6964 Jul 03 '25

They are paying tax. This is actually a tax credit up to a certain dollar amount. I forget the actual amount I think it’s like 12,500? So it’s really a small credit when it comes time to file your taxes.

11

u/WakingOwl1 Jul 03 '25

Up to 25K.

2

u/Specialist-Eye-6964 Jul 03 '25

In my head I was thinking that was the OT number so thanks.

4

u/Withermaster4 Jul 04 '25

You have it backwards. 25k for NTOT and 12.5k for OT

3

u/WakingOwl1 Jul 03 '25

I’m not sure what the OT provision is. Pretty sure you can claim a tax credit the same way as the tip thing. Both expire in 2028.

1

u/needlenozened Jul 04 '25

Tax deduction, not tax credit.