Beauty Industry Urges Congress to Extend Tip Tax Credit by 2023

The beauty industry continues to push for Congress to allow it to claim tip tax credit that would help salons save thousands of dollars in taxes.

The Professional Beauty Association wants Congress to extend the Federal Insurance Contributions Act, or FICA, tax tip credit under Section 45B to the beauty industry before the end of the year, the group said in a letter Tuesday.

The FICA tax tip credit allows employers in industries where tipping is more prevalent to use the credit toward payroll taxes they paid on tips from customers.

However, the credit has yet to be extended ...