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  #11  
Old 10-15-2005, 06:52 AM
Dominic Dominic is offline
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Join Date: Jun 2004
Location: Los Angeles
Posts: 611
Default Re: Got stiffed on a tip tonight

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BTW- For those of you who don't think tipping is part of the bill, STFU. Servers don't get a paycheck. They have to declare how much money they rang up and it gets taxed out of the paycheck.

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wow, no [censored]! So that means if i don't leave a tip, that I help the waiter save on taxes!

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No, he pays taxes. When you ring in a meal, it gets tallied. So lets say that at the end of the work week, you have $1000 in meals. You have to declare at least 8% or the IRS comes looking for you. So that means you need to declare at least $80 in tips. Whether or not you get tipped, you need to declare $80. So when you are a cheap bastard and don't tip, you cost your server money.
BTW-If you continually only declare 8%, the IRS WILL come looking for you. Most do 10%.

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I don't think this is right. the 8% only applies as substitute for keeping records. That is in the absence of records they would declare 8&. However if the person kept records of their tips and it totaled below 8% they would be able to declare the actual amount of income they recieved. There is no tax law that could require you to pay tax on income you did earn. I'm not 100% certain as I worked in audit and not tax but I am fairly sure.

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You are probably right, but I have never met a server who kept a record of all the tips recieved. They just declare 10 to 12% of the money.

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well, that's rather stupid, isn't it?
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