By Tom Kovach
Most people working as servers in restaurants are young. So, they don't know that, prior to 23 years ago, tips were never taxed. How did they become taxed? That was some legislative sleight-of-hand by the very group that claims to be all about helping the little guy: the Democratic Party.
In order to satisfy their bloodlust for budgetary spending, the Democrat-controlled Congress passed the "Balanced Budget Act of 1984." Included in that massive shopping list of new taxes was a tax on tips that restaurant servers earn. I remember the new tax well. I was in the Air Force at the time, and one of my buddies was married to a waitress. Back when the minimum wage was still less than four dollars per hour, she was making a hundred dollars per night in tips. (She was good looking ... and she worked hard.) All of a sudden, she had to start filling out forms and reporting how much she had been tipped. It would be an understatement to say that she was not happy...........CLICK THIS LINK FOR THE REST OF THE STORY AT ............ https://web.archive.org/web/20120529005402/http://www.renewamerica.com/columns/kovach/071113
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