Employees of the restaurant industry share the proposal for no tax on cash tips

Eau Claire, Wisconsin (Weau) – No tax on tips, is a mantra legislator on both sides of the gang that aims to support members of the service industry.

“I think it would be very advantageous for people in the service industry,” said a server and barista in Eau Claire.

Now there is another proposal to eliminate taxes on cash tips.

“It is an opportunity for those who work in top positions in our industry to put more money in their pockets,” said Susan Quam, Executive Vice President of the Wisconsin Restaurant Association.

Governor Evers shared this during his state budget address last week. This comes when the Republican legislator of Wisconsin introduced a legislative template with the same goal at the beginning of this month.

Although this legislation of the law can already help in the industry, Quam said that it could get more people on the field.

“Wherever you get the traditional server at the table, we are still around 5 to 6,000 employees back here in Wisconsin compared to pre-pandemic,” said Quam.

Quam said that support for restaurant employees could continue.

“We still want to make sure that those who work in the back of the house, work in the kitchen area are not justified to get legal tips,” said Quam. “So we would like to make sure that we try to find out opportunities for you.”

The co -owner of Draganetti in Eau Claire, Joanne Palzkill, shared this feeling. She sent us an explanation in which she said: “As someone who spent over 40 years in the restaurant industry, I know first -hand how much employees rely on these income, and non -exhausting tips would be a significant increase for her. It is a step that could help to win and keep employees in an industry that is already faced with work challenges. However, it is important to recognize that the kitchen staff – who work just as difficult to keep a restaurant going – would not see the same benefit. If this proposal progresses, I hope that the conversation also contains opportunities to support the employees who do not earn tips, but are just as important for the food experience. “

The Wisconsin calculation for this tax exemption is currently in the committee. There are also federal laws that deal with this tax exemption for tips. The Senator of Texas, Ted Cruz, introduced last summer and was forwarded to the finance committee.

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