I am interested in hearing from restaurant servers and managers about the new IRS rules regarding gratuities. It has been common for most Santa Fe restaurants to automatically add 18 percent on checks for larger parties - usually 8 or more patrons.
Now that 18 percent is collected by the restaurant. Servers should still receive all the money, but it will be paid out with salary checks — and taxed accordingly. That will cut into the immediate take-home pay of many servers and probably result in higher tax collections to the federal government as the possibility of short changing the gratuity amount for tax purposes is eliminated.
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