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"Tax-Free Tips" Act introduced by Ron Paul

How a President Can Really Liberate People

Not with bombs and machineguns, but with liberty. Ron Paul has proposed legislation to free the "tipped," that is, to make all tips earned by waitresses, cabdrivers, hairdressers, and others--now an excuse for spying and theft--tax free.

As he said yesterday:

"Madam Speaker, I rise to help millions of working Americans by introducing the Tax Free Tips Act. As the title suggests, this legislation makes tips exempt from federal income and payroll taxes. Tips often compose a substantial portion of the earnings of waiters, waitresses, and other service-sector employees. However, unlike regular wages, a service-sector employee usually has no guarantee of, or legal right to, a tip. Instead, the amount of a tip usually depends on how well an employee satisfies a client. Since the amount of taxes one pays increases along with the size of tip, taxing tips punishes workers for doing a superior job!

"Many service-sector employers are young people trying to make money to pay for their education, or single parents struggling to provide for their children. Oftentimes, these workers work two jobs in hopes of making a better life for themselves and their families. The Tax Free Tips Act gives these hard-working Americans an immediate pay raise. People may use this pay raise to devote more resources to their children's, or their own, education, or to save for a home, retirement, or to start their own businesses.

"Helping Americans improve themselves by reducing their taxes will make our country stronger. I, therefore, hope all my colleagues will join me in cosponsoring the Tax Free Tips Act."

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Liberation one Bill at a time

Ron Paul is the Revolution.

John R. Ellis
"Citizen for Freedom"


This is wonderful news do you realize how many people depend on tips? We need to make sure everyone who depends on tips is informed about Dr. Paul and his efforts to help them keep their hard earned tips.

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