Excludes income earned in the form of tips from gross income tax.

This bill excludes income earned in the form of tips from the gross income tax. Under current law, the State defines gross income as, among other categories of income, salaries, wages, tips, fees, commissions, bonuses, and other remuneration received for services rendered. The bill specifies that tips received for services rendered, whether in cash or in property, would be treated as property acquired by gift, and therefore specifically excluded from the calculation of gross income.

Excludes income earned in the form of tips from gross income tax.

This bill excludes income earned in the form of tips from the gross income tax. Under current law, the State defines gross income as, among other categories of income, salaries, wages, tips, fees, commissions, bonuses, and other remuneration received for services rendered. The bill specifies that tips received for services rendered, whether in cash or in property, would be treated as property acquired by gift, and therefore specifically excluded from the calculation of gross income.