Tax and social security exemption for tips extended for 2026 to 2028
Article 5 of the 2026 budget act amends Article 5 of the 2022 budget act to extend until 31 December 2028 the exemption from income tax and social security contributions for tips voluntarily given by customers to employees. The pay ceiling for eligible employees (1.6 times the minimum wage, by reference to Article L. 241-13 of the Social Security Code) is assessed under the wording of that article resulting from the 2025 social security financing act.
Measure originators
No official estimate found for this measure.
Measure impact
Tips paid in 2026, 2027 and 2028, directly by customers or through the employer, to employees earning no more than 1.6 times the minimum wage remain exempt from income tax and social security contributions. Mainly concerns employees in restaurants, hotels and services.
Official references
Sources
Procedure timeline
Follow the progress of this fiscal measure through the different stages of the parliamentary procedure.
Administrative implementation
Entrée en vigueur de la mesure et mise en œuvre par l'administration
President of the Republic signature
Publication au Journal officiel
National Assembly has the final say
Si échec CMP
Administrative implementation
Entrée en vigueur de la mesure et mise en œuvre par l'administration