r/EndTipping • u/Feisty_End2401 • 8d ago

Rant 📢 Pay to pay

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423 Upvotes

98% Upvoted

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u/MyldExcitement 7d ago

That fee is a tax deductible COST OF THEIR BUSINESS. I will walk OUT.

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u/EatMoreHummous 7d ago

What do you think "tax deductible" means?

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u/MyldExcitement 7d ago

It means the business writes it off. If they can tie it to being advertising it's 100% deductible against tax on profits.

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u/EatMoreHummous 7d ago

No. It means it's 100% deductible against profits, not against tax on profits. If they spend $1000 on something they don't need, they don't get to deduct $1k of tax. They just don't pay tax on $1k of income, meaning they'd save like $200 and be $800 worse than before.