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19 September 2025

Treasury releases proposed regulations listing occupations that will qualify for the tip deduction

The Treasury Department on September 19, 2025, released proposed regulations (REG-110032-25) identifying occupations that will qualify for the new IRC Section 224 deduction for tips enacted in the "One Big Beautiful Bill Act" (P.L. 119-21, OBBBA) for tax years 2025 through 2028. The proposed regulations also define "qualified tips" for purposes of the deduction. A Tax Alert is forthcoming.

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Published by NTD’s Tax Technical Knowledge Services group; Chris DeZinno, legal editor

Document ID: 2025-1889

 

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