Talk of The Villages Florida - View Single Post - TIPPING when placing an order>>>
Thread: TIPPING when placing an order>>>
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Old 12-28-2021, 06:18 PM
retiredguy123 retiredguy123 is offline
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Quote:
Originally Posted by Stu from NYC View Post
We pay tax on our income why should servers not have to do the same?
I agree. But, it's not just the servers who can hide the cash tip income. It reduces the restaurant's gross credit card income, which the banks report to the IRS. The servers are required to pay income taxes, based on 8 percent of the restaurant's overall gross proceeds, and prorated to each server. The servers get a W-2 for that amount.