Timeline for Reporting monetary gifts as a waiter/waitress?
Current License: CC BY-SA 3.0
21 events
| when toggle format | what | by | license | comment | |
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| Apr 26, 2017 at 20:28 | comment | added | asgallant | @Michael, I don't know what secret magic the IRS uses to track down unreported, paper trail-less income, but they can probably back-track from expenses (ie, if you have $30k/year in reported income, but $40k/year in traceable expenses, you are probably hiding significant income), or compare your reported income vs your coworkers and other people in similar jobs. The IRS has 150+ years of experience detecting tax evasion, chances are they've seen it all and know exactly how to track down unreported income. | |
| Apr 26, 2017 at 14:13 | vote | accept | Michael | ||
| Apr 26, 2017 at 0:52 | comment | added | user12515 | @asgallant Just out of curiosity, without a paper trail of some sort (e.g. something you wouldn't have with cash tips) what would the IRS hope to accomplish with an audit? | |
| Apr 25, 2017 at 21:48 | comment | added | asgallant | @Chris, this is why servers and bartenders (and other commonly tipped service jobs) are among the jobs with the highest IRS audit rates (in the US anyway). | |
| Apr 25, 2017 at 18:14 | answer | added | David Schwartz | timeline score: 4 | |
| Apr 25, 2017 at 16:16 | comment | added | Chris | @MichaelC. You are legally required to report tips above a certain minimum on your taxes; your restaurant may also have rules that say you must report tips. Finger waving over. Personally I would not, and I would be willing to bet at least 70% of servers do not declare cash tips. Not because I believe taxation is theft (I don't), but because when I was working as a server I was a poor college student and needed the money. Your personal situation/morals/risk tolerance may vary. | |
| Apr 25, 2017 at 16:16 | comment | added | donjuedo | I have done both a tip and gift to the same server. It really irks me that I reward a server for a job well done, but they then have to divide it among the busboy, other staff, and sometimes the restaurant, none of which was my intent. So I consider the tip and the gift separate and deliver them separately. | |
| Apr 25, 2017 at 16:08 | comment | added | Michael | @Chris It appears that it was cash. | |
| Apr 25, 2017 at 16:08 | comment | added | Chris | Did they leave the tip/gift in cash or on a card? | |
| Apr 25, 2017 at 15:58 | answer | added | D Stanley | timeline score: 3 | |
| Apr 25, 2017 at 14:32 | comment | added | D Stanley | Considering I have known LOTS of servers that don't report all of their tips anyways, this seems more like a personal ethical decision. | |
| Apr 25, 2017 at 14:26 | answer | added | NL - SE listen to your users | timeline score: 4 | |
| Apr 25, 2017 at 6:04 | history | tweeted | twitter.com/StackFinance/status/856750820137865218 | ||
| Apr 25, 2017 at 3:05 | history | edited | Dheer |
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| Apr 24, 2017 at 22:16 | comment | added | quid | I'm not sure how much weight I'd give to a concept that begins with "taxation is theft" written on the tip line... | |
| Apr 24, 2017 at 22:13 | comment | added | Michael | @JoeTaxpayer I was surprised too. And 2 metaphors! | |
| Apr 24, 2017 at 22:12 | comment | added | JTP - Apologise to Monica♦ | 3 answers within 1 minute of each other. Interesting. | |
| Apr 24, 2017 at 22:11 | answer | added | Hart CO | timeline score: 47 | |
| Apr 24, 2017 at 22:11 | answer | added | JTP - Apologise to Monica♦ | timeline score: 20 | |
| Apr 24, 2017 at 22:09 | answer | added | Keith | timeline score: 8 | |
| Apr 24, 2017 at 21:54 | history | asked | Michael | CC BY-SA 3.0 |