USA: National Restaurant Association prepares for Supreme Court fight over tip reporting
The National Restaurant Association (NRA) is contributing US$100,000 from the Safe American Free Enterprise Fund (SAFE) to help one Californian restaurateur Bob Larive continue his battle against the IRS - this time, before the US Supreme Court. At stake is whether the IRS has the right to assess employers a tax bill for their share of FICA taxes on tips the IRS says employees earned but failed to report - without ever determining the exact amount or which employees failed to report their tips or without crediting employer FICA tax payments to those employees' Social Security accounts.
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