I guess the IRS isn’t aware that most servers are tipped with credit and the amounts are added to their biweekly checks. Only about 20% of tips are cash and they already self-report those. Are they planning to frisk servers before they leave for the night now?
I only tip in cash. The recipient can report it or not, none of my business.
Hint: Nothing says you have to write anything in the “occupation” line. So far.
They will guess how much they should have made in tips and then make the servers prove they didn’t make that much.
Exactly
“Only about 20% of tips are cash and they already self-report those.”
They self report all their cash tips? BHHHAAAAHAAAHAAA!!
They use programs to analyze and then to target people. Then they send letter demanding payment of back taxes. Most people just pay up because it’s too much trouble to fight it.
I tip in cash only. Some restaurants are not honest to their employees with tips on a credit card. Thus, I tip in cash only. If the waitress or waiter does not report it to the IRS, I do not care.