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Latest revision as of 05:42, 8 October 2026
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In fact, this column was inspired by an innovative transfer pricing York Times article that ran last week, arguing that generous tipping "is a technique that is guaranteed personal no relation to your service." (1) Then why does the person being tipped pay taxing? Defenders for this IRS position would say it returns to Section 61. The waitress provided a service for me, and I paid for it. Compensation for services is taxable.
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