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Tax Simplification for Small Businesses and Beauty Service Industry

This act amends tax laws to simplify tip reporting and compliance for small businesses, particularly in the beauty service industry. It aims to reduce administrative burdens for entrepreneurs and improve tax compliance.
Key points
Extends the tax credit for employer social security taxes paid on employee tips to the beauty service industry (barbering, nail care, esthetics, spa treatments).
Establishes a "safe harbor" program for beauty service employers, protecting them from IRS tip examinations if they meet specific conditions (educational programs, monthly tip reporting, record keeping).
Requires reporting of income from space rentals in the beauty service industry if the lessor receives $600 or more annually from two or more service providers.
article Official text account_balance Process page
Introduced
Citizen Poll
No votes cast
Additional Information
Print number: 119_HR_2603
Sponsor: Rep. LaHood, Darin [R-IL-16]
Process start date: 2025-04-02
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Summarized by: gemini-2.5-flash
Source data: api.congress.gov
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OFFICIAL LEGAL TITLE

Small Business Tax Fairness and Compliance Simplification Act

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 119_HR_2603.

Which chamber initiated this legislation?

This legislation was initiated in the House of Representatives.

When did the legislative process begin?

The process officially started on 2025-04-02.

What are the main provisions?

Key points include:

  • Extends the tax credit for employer social security taxes paid on employee tips to the beauty service industry (barbering, nail care, esthetics, spa treatments).
  • Establishes a "safe harbor" program for beauty service employers, protecting them from IRS tip examinations if they meet specific conditions (educational programs, monthly tip reporting, record keeping).
  • Requires reporting of income from space rentals in the beauty service industry if the lessor receives $600 or more annually from two or more service providers.
What is the specific legal status?

The current status is Introduced.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Rep. LaHood, Darin [R-IL-16].

What is the latest detailed status?

The latest detailed status is: Referred to the House Committee on Ways and Means.

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2025-12-22.

CATEGORIES

Taxes Labor Economy