Tips for Taxes

Posted January 25th, 2012.

Perris Tax Returns reminds tax payers that if your wages include tips you must report them all to your employer and the IRS on your taxes as part of your gross income.

There is a form, Publication 1244, Employee’s Daily Record of Tips and Report to Employer which can be downloaded from the IRS website. This form should be used to keep track of all your tips whether in cash form, additions to credit cards, shared tips form other employees, or value on items. If  you make more than $20 per month in tips, your your employer needs to file them for federal income, Social Security and Medicare taxes.