No Tax on Tips for Tour Guides (2026)
Yes. Tour Guides are on the IRS tipped jobs list (code 704), so you can deduct up to $25,000 of tips from federal income tax for 2026. End-of-tour tips can qualify, whether you’re employed or independent.
- IRS code 704
- Cap $25,000
- W-2 or 1099
Tips calculator for tour guides
Private: runs in your browserEstimate of federal income tax only. Not tax advice.
Example: tour guide
- Seasonal guide, $28,000 wages including $7,000 code TP, singleQualified tips $7,000.Deduct $7,000 · save about $700 in federal tax
What tour guides should know
- On payroll, look for box 12 code TP on your W-2. Self-employed, use your own records; tips are capped at your net profit.
- Tour guides are code 704. Travel guides are 705.
- Tips paid through booking apps count if guests chose the amount.
- Independent guides: tips are capped at your net profit.
Your IRS code
704 Tour guides. Not your exact job? See the full list of 71 tipped jobs.
Tour Guides: FAQ
Do tour guides qualify?
Yes. Tour guides are code 704 on the IRS list.
Are tips in a booking price included?
Only if the guest could choose or change the amount.
What about travel guides?
Also yes. Travel guides are code 705.
How much can tour guides deduct?
Up to $25,000 of qualified tips per tax return, for 2025 through 2028. It shrinks by $100 for each full $1,000 of income over $150,000 ($300,000 joint).
Do I still pay Social Security and Medicare on tips?
Yes. The deduction only lowers federal income tax. Payroll or self-employment tax and state tax don’t change.
Related tools and guides
- Bellhops and PortersCode 301. W-2 code TP.
- Musicians and SingersCode 206. W-2 or 1099.
- Golf CaddiesCode 701. W-2 or 1099.
- No tax on tips calculatorW-2 code TP, box 14b and 1099 tips, with the net-profit limit.
- IRS tipped occupations listAll 71 Treasury Tipped Occupation Codes, searchable.
- W-2 code TP and box 14bCash tips reported to your employer and your occupation code.
- No tax on tips by jobBartenders, servers, stylists, drivers and more.