IRS Rules Distributions from Tip Jars Are Tips, Not Wages

In the recently released Chief Counsel Advice (CCA) 200929004, the Internal Revenue Service ruled that money distributed from a company’s tip jar should be considered tips, not wages. The company requires that all its retail locations maintain a tip jar to collect...

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IRS Rules Discounts Offered to Employees Are Taxable Income

In the recently released Chief Counsel Advice (CCA) 200923029, the Internal Revenue Service ruled that discounts provided to an employer’s employees who purchase or lease property from a company that formerly owned the employer are taxable as fringe benefits based on...

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