News for hackers. Stuff that matters.

A comment on Is tipping getting out of control? Many consumers say yes. Parent comment

Re:Is tipping getting out of control? Many consumers say yes by michaelt on Tuesday January 24, 2023 @04:51AM (#34501670)
Very much so, if you take them in cash and don't report them on your tax return.
[ Parent | on HN ]
Re:Is tipping getting out of control? Many consumers say yes by adastra22 on Tuesday January 24, 2023 @06:59AM (#34502511)
Which is tax evasion, unless your tips are less than $20 per month.
[ Parent | on HN ]
Re:Is tipping getting out of control? Many consumers say yes by christophilus on Tuesday January 24, 2023 @07:15AM (#34502632)
Way back when I was in college, none of my peers reported tips. Has that situation changed?

It is tax evasion, but it was commonplace.

[ Parent | on HN ]
Re:Is tipping getting out of control? Many consumers say yes by bluGill on Tuesday January 24, 2023 @08:46AM (#34503448)
It always was illegal, but hard for the IRS to prove so most got away with tax evasion. These days most people pay with a credit card which means there is an electronic record that the IRS can demand of the employer. With cash tips the waitress was collecting the cash themself and the manager didn't have a good way to get the correct number. If you report zero tips in the cash system someone will notice, but if you report everyone only gave you half what they really did there is no way to know.
[ Parent | on HN ]
Re:Is tipping getting out of control? Many consumers say yes by tastyfreeze on Tuesday January 24, 2023 @10:10AM (#34504493)
Yet this practice is nearly ubiquitous with cash tip jobs.
[ Parent | on HN ]