What gig workers and employees who get tips need to know about the new no-tax-on-tips tax break

New deductions usually introduce new complexities and the need for better recordkeeping.

By: Annette Nellen, San José State University, The Conversation

Outlets: The Conversation

Published: April 6, 2026

Words: 1,563

Last Updated: 3 months, 3 weeks ago

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By Annette Nellen, San José State University

About 1 in 10 American workers are earning a living as a gig worker. That means they find their customers through Lyft, DoorDash, TaskRabbit and other digital platforms, or do another form of what the IRS and others call “on-demand work.”

As a certified public accountant, attorney and tax professor, I study how new tax rules affect businesses and individuals, as well as the complexities …

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