Tips are problematic for any Restaurant CPA. And now in 2012, the IRS again makes a clear distinction between service charges and tips. It also promises changes to TRAC (Tip Reporting Alternative Commitment) agreements already in place. Much of the following discussion on tips comes from an IRS interim guidance memorandum to its examiners. As . . . → Read More: Restaurant CPA discusses Tip Reporting per Rev. Rul. 2012-18, published in the 2012-26 Internal Revenue Bulletin | TRAC | Form 4070A