Daily News All News  |  Subscribe  
Restaurant and Foodservice News
RSS
News |  Newsletters  |  Articles |  Blogs | Video |  TV |  QSR News  |  Casual Dining News  |  Onsite News  |  Chef News

New IRS rule could cut into restaurant workers' tips


Copyright: Fox News

January 7, 2014


Even as President Obama and progressive activists are trying to sell the nation on hiking the national minimum wage to help restaurant workers and other low-wage employees, the Internal Revenue Service is seemingly determined to make life harder for those same workers. A change in tax policy implemented Jan. 1 will prevent restaurant workers from collecting automatic gratuities — the added 18 percent fee many restaurants charge to groups of eight or more — as part of their tips. Instead, that added fee will be included in their payroll, meaning workers have to wait up to two weeks to get that extra cash and must pay additional taxes on it. It means less money in servers’ pockets and more for the federal government. “We had a lot of nervous servers when they first heard about it,” said Pat Forciea, marketing director for Hell’s Kitchen, an ...


Read More (opens new link to source)  |   All News



Note: The story above links to an external site and was free from registration requirements at the time it was selected. Because Foodservice.com has no control over information outside of our site, the availability and status is subject to change.






Thoughts and Comments?  Post as a member of Foodservice.com or Facebook below
Note that you must be registered to leave comments. Register or Sign in.




Top Stories
1. Chipotle Says Criminal Investigation Widens, Sales Plunge
2. When the World's Top Chef Killed Himself, He Took Secrets to His Grave
3. Chipotle's Recovery Plan, Explained in Five Easy Steps
4. Ted Cruz: "If Heidi’s First Lady, French Fries Are Coming Back to the Cafeteria"
5. Thomas Keller responds to harsh New York Times review
6. How One Fast-Food Chain Keeps Its Turnover Rates Absurdly Low
7. Food bloggers tricked by fine dining meal made with Big Mac, Egg McMuffin ingredients
8. How Chicago Students Are Fighting Disgusting School Lunches
9. Celebrity chef Cat Cora divorcing partner of 17 years
10. Fat is the New Kale

Recent News
Hoax convinces fast-food workers to trash restaurant
Food bloggers tricked by fine dining meal made with Big Mac, Egg McMuffin ingredients
The New Generation of Nomadic Chefs
Hungry sea lion pup seats itself at fancy San Diego restaurant booth
Amid an Uncertain Year, Burgers Prevail
World-Class Chefs Find Themselves Under Extreme Pressure
Chef accused threatening to stab server
Chef Amanda Freitag Opens Up About How She Got Where She Is Now (video)
'Prehistoric meat' from 1951 dinner turns out to be a mammoth ruse
Inside the country's first 100% vegetarian drive-thru restaurant




More like this:

Amid an Uncertain Year, Burgers Prevail

Inside the country's first 100% vegetarian drive-thru restaurant

Chipotle Says Criminal Investigation Widens, Sales Plunge

Investors cheer strong Sysco earnings report

Chipotle's Recovery Plan, Explained in Five Easy Steps

Grab-and-Go for the Gold

How One Fast-Food Chain Keeps Its Turnover Rates Absurdly Low

9 Fast Food Trends for 2016

Fast food workers hold series of events ahead of GOP debate

US Potato Board launches Spud Nation Food Truck Venture

Other Topics:

Business & Financial  (2258)

Chefs and Cooking  (2294)

Customer Service  (119)

Design  (33)

Equipment & Supplies  (29)

Food Cost Management  (68)

Food Safety  (241)

HR and Recruiting  (55)

Human Interest  (1083)

Interviews  (7)

Legal  (313)

Marketing - Products  (207)

Marketing - Restaurant  (489)

Menu Development  (214)

Nutrition  (1218)

Restaurant Management  (94)

Restaurant Spotlight  (96)

Sanitation  (31)

Startup  (24)

Technology  (182)

Trends  (127)

 




Copyright © 1996-2013 Foodservice.com ®. All Rights Reserved.