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Last-Calligrapher293 t1_j4oiyl0 wrote

Somewhat true. Say I had a really gnarly week serving to the point I made $5/hr. Legally, my job has to pay me minimum wage. So they bump it up, tax it. On the flip side, say I made $50/hr the next week but most of it was credit card tips. Those tips would be in my next check(at most, not all restaurants) and those tips would be taxed. That helps the IRS keep track of money industry people make, that way someone can't say "oh look, I only made x amount this year, I deserve extra tax refunds."

It is highly encouraged in most restaurants because of that to also report your cash tips and not get the IRS up your booty

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revel911 t1_j4r1fst wrote

The issue is here at shyndigz there are no waiting staff anymore so just counter people making a standard hourly wage.

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Last-Calligrapher293 t1_j4r9qdx wrote

Regardless, still very very very illegal for owners to keep tips. They could take the tip option away if they truly want to, but instead the owner is lining their pockets with money intended for staff.

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