Kansas legislative leaders indicate intent to introduce “No Tax on Tips” legislation in state
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U.S. Senator Roger Marshall joined Kansas state legislators Monday to announce the legislators’ intent to follow the lead of President Donald Trump’s proposal to not tax tips.
Trump made removing a tax on tips a part of his campaign promise during the election, and bills that would “eliminate the application of the income tax on cash tips” were introduced in both the U.S. House and Senate last year.
Sen. Marshall said Monday that bringing the No Tax on Tips Act to life would put more money in the pocket of workers, and he said he hopes to help deliver Trump’s campaign promise.
“‘No Tax on Tips’ should be commonsense policy for anyone looking to support workers and families,” Marshall said.
Kansas Senate President Ty Masterson said in a press conference Monday that any legislation in Kansas will mirror what Congress does. Masterson said that tipped income is different than regular wages because a tip is a “thank you” for service which shouldn’t be subjected to tax, and he thinks it will help people who work service jobs.
“This will ease the burden on Kansans employed in our service industry and will also help our small businesses that depend on service staff,” Masterson said.
State Sen. Caryn Tyson, who is Chair of the Senate Tax Committee, said this initiative is part of the overall effort to simplify the tax code and remove a burden on service workers who “try to track their tipped income.”
Mike Pirner, the Director of Policy & Communications for Ty Masterson, told the Journal-World that no bill has been introduced to either house yet, but reiterated that the plan is to match what the U.S. Congress does. Other details on the bill will be worked out in the legislative process, he said.