Gaming Employees & Tip Income
On page 5 you will find an article from the St. Paul IRS on reporting
tips to the IRS. Late last year the IRS in auditing tax-exempt
organizations began to target employee tips as an audit focus. They
have
found that many (if not most) charitable gambling employees have not
been reporting tips received as income. At this point the IRS goal
is to
get employees in compliance as soon as possible and they are not yet
going retroactive on this issue. If you have questions on this you
should contact your accountant or tax attorney. We are planning on
having the IRS conduct a seminar on Tip Reporting at our upcoming
Convention & Expo.
