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Updated over 1 year ago on . Most recent reply

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John Underwood
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  • Investor
  • Greer, SC
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No tax on Tips for Rental Income

John Underwood
#1 All Forums Contributor
  • Investor
  • Greer, SC
Posted

So, when Trump changes to no tax on tips I feel inclined to change my rental income structure.

50% reduction in rent.

Previous 50% made up from a mandatory nontaxable tip.  This will be for my excellent service as a landlord.

Just like a restaurant does when you have a party of 8 or more - they add a mandatory tip.

Doubt there will be any laws against this, at least initially.

  • John Underwood
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    Bruce Woodruff
    #1 Contractors Contributor
    • Contractor/Investor/Consultant
    • San Diego / Phoenix
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    Bruce Woodruff
    #1 Contractors Contributor
    • Contractor/Investor/Consultant
    • San Diego / Phoenix
    Replied
    Quote from @Aaron Zimmerman:

    I would look for other ways to legally reduce income such as cost segregation studies. Also - the no taxes on tips is not currently law. 


    Yeah, I think you may be missing an attempt at humor here....but then you are an accountant..... :-)

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