DJs, singers, musicians and other entertainers and service professionals are among the occupations that will be exempt from paying taxes on tipped income in the new “No Taxes On Tips” scheme included as part of Public Law 119-21, better known as the “One Big Beautiful Bill Act.”
Compiling a list of the jobs that would be eligible for No Taxes On Tips was left up to the Treasury Department. Sources there shared their list of 68 occupations with Axios founder Mike Allen, according to the publication.
Along with chefs, cooks, bartenders and waitstaff, the list also includes dancers, musicians and singers, digital content creators and DJs (“except radio” DJs, the list notes. Sorry.)
Among the other professions of interest are tattoo artists, piercers, movers, housekeepers and “gambling cage workers.”
The law goes into effect in 2025, and allows for a maximum annual deduction of $25,000 in tipped income. For self-employed workers, the deduction “may not exceed an individual’s net income,” according to the IRS.
Photo by Kenny Eliason on Unsplash
