IRS Tag

The IRS has updated a fact sheet that explains the differences between tips and service charges [Fact Sheet 2017-8, 4/25/2017]. Tips Definition Tips are discretionary (optional or extra) payments determined by a customer that employees receive from customers. Tips include: (i) cash tips received directly from customers;...

18 August, 2017

Many businesses nowadays get in trouble for not properly identifying and differentiating employees from independent contractors. Defining what it means to be an employee or independent contractor can be tricky. According to the IRS, an organization must withhold income taxes, withhold and pay Social Security and...

04 April, 2017