Michigan Republican plans to introduce "no tax on tips" bill

New Michigan legislation aims to stop taxes on tips

(CBS DETROIT) - Michigan Rep. Joe Aragona (R-Macomb County) wants to see tipped workers go home with more money in their pockets. 

Next week, Aragona is planning on introducing legislation that would stop taxing tipped wages. He says he feels that service jobs require hustle. 

"I think we should reward that type of work ethic," he said. "[We should] just not have a state tax on those types of wages."

Aragona said that his legislation would prevent any tipped wage from being taxed, which means tips gathered from card and cash purchases. 

"This is to kind of help boost that economy as well to say, 'All right, this is even more incentive to come and be part of this industry.' It's also going to help anybody out there who wants to hustle," Aragona said. 

Danielle Shock, who works as a server at the Starlite Coney Island in Burton, Michigan, says tipped wages make it possible for her to make well above the minimum wage with a more flexible schedule. 

"If we are able to make what we make and take it home and not have to give it all back to the government, we won't have to go and get a 40 to 50 hours a week job, and as a single parent, I can't do that," said Shock. 

Both former President Donald Trump and Vice President Kamala Harris have pitched similar "no tax on tips" legislation at the federal level if they were to win in November. 

"As a waitress, I can work less hours; it works with my schedule better, and I enjoy what I do," said Shock. 

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