Hello.
As a sole proprietor, where do I report tip income for tax year 2025, since up to $25,000 in tip income is not taxable, per the Big Beautiful Bill. I assume I should report it somewhere (Schedule C?), then it will be automatically deducted somewhere in the tax return? Do I gross up my total income and show the tips as a deduction elsewhere, or net the tips from total income and input the tip amount elsewhere?
Thank you.
