This bill introduces a new deduction for qualified tips received by individual taxpayers, aiming to eliminate the application of income tax on these earnings. Taxpayers can deduct an amount equal to their qualified tips, up to a maximum of $25,000 per taxable year. The Secretary of the Treasury is mandated to publish a list of occupations that traditionally received tips by December 31, 2023, to define what constitutes a qualified tip for this deduction. The deduction is available to all individual taxpayers, regardless of whether they itemize or take the standard deduction, and is exempt from certain income limitations. Furthermore, the bill expands the existing employer social security tip credit to include beauty service establishments , such as barbering, nail care, esthetics, and body/spa treatments. This allows employers in these sectors to claim a credit for a portion of the social security taxes paid on employee tips, with all provisions taking effect for taxable years beginning after December 31, 2024.