AN ACT CONCERNING TAXPAYERS WITH DECLARED TIP INCOME OVER A CERTAIN THRESHOLD.

This bill requires taxpayers who report over $100,000 in declared tip income on their 2025 or later tax returns to register with the state Department of Revenue. It also mandates that these taxpayers pay the state the amount of tax benefit they receive if the federal government later excludes tips from taxable income or reduces tax rates on tips. The law applies specifically to high-earning service industry workers (like servers or bartenders) who already report tip income to the IRS. It ensures the state collects tax revenue that might otherwise be lost if federal tax rules change.