IRS Publication 1244: Employee's Daily Record of Tips and Report to Employer

AAA

DEFINITION of 'IRS Publication 1244: Employee's Daily Record of Tips and Report to Employer'

A document published by the Internal Revenue Service (IRS) that details how employees are to keep track of and report income earned from tips. Tip income can come in the form of cash, credit or debit card adjustments to a bill or tip-sharing agreements with fellow employees. If an employee earns more than $20 in tips during a month, that employee is responsible for reporting the tip total to the employer. Employers are still responsible for withholding money for Social Security, Medicare and income tax.

INVESTOPEDIA EXPLAINS 'IRS Publication 1244: Employee's Daily Record of Tips and Report to Employer'

IRS Publication 1244 contains both Form 4070 and Form 4070A - two forms used by employees to report income earned from tips. Form 4070 is used to report the tip total for the month, while Form 4070A is used to keep track of tips on a daily basis. Employees should request IRS Publication 1244 in order to receive the appropriate forms.

RELATED TERMS
  1. IRS Publication 531

    A document published by the Internal Revenue Service (IRS) that ...
  2. Withholding Tax

    1. Income tax withheld from employees' wages and paid directly ...
  3. Tip Income

    Income that a service professional earns that is not part of ...
  4. Base Pay

    An employee's initial rate of compensation, excluding extra lump ...
  5. Civil Rights Act of 1964

    Landmark federal legislation that prohibits discrimination on ...
  6. Pre-Disability Earnings

    The amount of qualifying income that a disability insurance policyholder ...
Related Articles
  1. Taxes

    How To Appeal Your IRS Audit

    The auditor's review isn't always the last word. Many taxpayers who are audited can successfully appeal their audits and save thousands of dollars.
  2. Taxes

    Inaccurate Tax Return, Now What?

    If the IRS finds errors, it will cost you. Find out how to fix them, and how to prevent them in the first place.
  3. Taxes

    How To Report A Tax Cheat

    If you report a tax evader to the IRS, you could be eligible for a reward.
  4. Taxes

    Surviving The IRS Audit

    Keeping thorough records and knowing the penalties make this experience easier than you'd expect.
  5. Options & Futures

    How To Owe Nothing On Your Federal Tax Return

    You have the control to determine whether you owe in April. Learn more here.
  6. Taxes

    The History Of Taxes In The U.S.

    The number of taxes that we now consider a given did not always exist. Find out how they arose.
  7. Investing Basics

    Enterprise Resource Planning System: A How To

    An ERP system won’t transform poor management into good management, but the real-time business analytics can help make good management even better.
  8. Investigate these expat havens if you seek a developed country with low barriers for getting a permanent resident visa – sometimes even citizenship.
    Personal Finance

    5 Developed Countries That Welcome Expats

    Investigate these expat havens if you seek a developed country with low barriers for getting a permanent resident visa – sometimes even citizenship.
  9. Free enterprise is the economic term used to describe an economy with very little government ownership.
    Economics

    What's Free Enterprise?

    Free enterprise is the economic term used to describe an economy with very little government ownership or regulation. In a free enterprise system, competition and the preferences and choices ...
  10. Some countries put up very high barriers for foreigners to get citizenship
    Personal Finance

    5 Countries Where It's Hardest To Become A Citizen

    The United States is one of five countries that put up very high barriers for foreigners to get citizenship. Here's how it compares to the other four.

You May Also Like

Hot Definitions
  1. Deferred Revenue

    Advance payments or unearned revenue, recorded on the recipient's balance sheet as a liability, until the services have been ...
  2. Multinational Corporation - MNC

    A corporation that has its facilities and other assets in at least one country other than its home country. Such companies ...
  3. SWOT Analysis

    A tool that identifies the strengths, weaknesses, opportunities and threats of an organization. Specifically, SWOT is a basic, ...
  4. Simple Interest

    A quick method of calculating the interest charge on a loan. Simple interest is determined by multiplying the interest rate ...
  5. Special Administrative Region - SAR

    Unique geographical areas with a high degree of autonomy set up by the People's Republic of China. The Special Administrative ...
  6. Annual Percentage Rate - APR

    The annual rate that is charged for borrowing (or made by investing), expressed as a single percentage number that represents ...
Trading Center