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Abolish income tax on voluntary tips

Submitted on Thursday 7th October 2021

Rejected on Monday 11th October 2021

Current status: Rejected

Rejection code: duplicate (see below for details)

Petition Action

Abolish income tax on voluntary tips

Petition Details

We want the Government to abolish income tax on voluntary tips paid in cash or electronically.
This should include direct tips as well as pooled tips where proprietor is not involved in decision making on how tips are distributed.

Additional Information

Tips are voluntary gifts given to individuals for good service therefore should be treated as such and given tax exempt status.

The reduction of cash use in society is affecting cash tip earnings.

Growing number of proprietors refuse card tip processing due to the cost and PAYE administrative burden resulting in loss of income from tips.

Due to complicated HMRC guidlines on tip pooling, individuals and staff are at risk of accidental tax evasion.
Now more than ever industry needs support.


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This petition was rejected

The Government e-Petitions Team gave the following reason:

There's already a petition about this issue. We cannot accept a new petition when we already have one about a very similar issue.

You are more likely to get action on this issue if you sign and share a single petition.

You may wish to sign this petition which calls for the same action: petition.parliament.uk/petitions/589644

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