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Question for Land's End Brides (Gratuity on tax?)

BbyJenny Posted:

Question for Land's End Brides (Gratuity on tax?)

!

neener1211 Posted:

Re: Question for Land's End Brides (Gratuity on tax?)

Lands End and Flowerfield both charge you the amount per person, times the minimum. Then they charge tax on that amount. THEN, they add the % gratuity to your bill.

They do it right. It is illegal to charge tax on the gratuity. I know Flowerfield didn't have a
'service charge' and they are owned by the same people.

Hope that helps.
Espo22 Posted:

Re: Question for Land's End Brides (Gratuity on tax?)


Posted by neener1211

Lands End and Flowerfield both charge you the amount per person, times the minimum. Then they charge tax on that amount. THEN, they add the % gratuity to your bill.

They do it right. It is illegal to charge tax on the gratuity. I know Flowerfield didn't have a
'service charge' and they are owned by the same people.

Hope that helps.



sounds like how alot of places do it. The way you described in the first paragraph that is
BbyJenny Posted:

Re: Question for Land's End Brides (Gratuity on tax?)

But doesn't it seem weird to pay a gratuity on the tax they are required to pay to New York State? Shouldn't the gratuity be a percentage of the $$ you are actually paying to the hall? I know it really only amounts to a few hundred dollars (20% of 8.625), but every bit counts, and it just struck me as odd.

neener1211 Posted:

Re: Question for Land's End Brides (Gratuity on tax?)

you are not paying a gratuity on the tax....this is how it should look:

100pp x 140 minimum=$14000
$14000 x .08625 tax= $1207.50
$14000 x .18 gratuity= $2520.

$14000 + $1207.50 +$2520.00= $17727.50

You can fill in your numbers depending on your contract.
KSquared Posted:

Re: Question for Land's End Brides (Gratuity on tax?)

yeah they can't charge you tax on the gratuity, are you sure you're understanding it right? Because that's pretty much illegal.

Super2star Posted:

Re: Question for Land's End Brides (Gratuity on tax?)

my friend was looking to book that place in June of 2008....did LE have alot of Saturday nights still open?

BbyJenny Posted:

Re: Question for Land's End Brides (Gratuity on tax?)

?

BbyJenny Posted:

Re: Question for Land's End Brides (Gratuity on tax?)


Posted by Super2star

my friend was looking to book that place in June of 2008....did LE have alot of Saturday nights still open?



When we last looked about three weeks ago they still had two June Saturdays open, I believe.
cbcf Posted:

Re: Question for Land's End Brides (Gratuity on tax?)


Posted by BbyJenny


Posted by neener1211

you are not paying a gratuity on the tax....this is how it should look:

100pp x 140 minimum=$14000
$14000 x .08625 tax= $1207.50
$14000 x .18 gratuity= $2520.

$14000 + $1207.50 +$2520.00= $17727.50

You can fill in your numbers depending on your contract.



I agree that's how it should look, but when read it over, it appeared to me and my FH to be this (using your numbers as examples):

100pp x 140 minimum=$14,000
$14,000 x .08625 tax= $1207.50
$15,207.50 ($14K + $ 1207.50) x .20 gratuity = $3041.50

$14000 + $1207.50 +$3041.50= $18,249

I'll check again tonight and make sure we didn't misread it, but I'm guessing you'd agree that it wouldn't be right the way I'm reading it, now?



the thing is you are adding the gratuity within the taxing part...and the gratuity shouldnt normally be taxed.. i think it is illegal to do so...so i dont know if this is right?? I could be wrong
cbcf Posted:

Re: Question for Land's End Brides (Gratuity on tax?)

I remember seeing this one time but i dont know if i am right or if this person was right in saying this but here it is

100$ a person x 1.20 (gratuity)= 120$
120$ x 1.08625 (tax)= 130.35$

then $130.35 x 150 (person minimun)= $19,552.50

is that right? cause if I did it the way you guys said it would be cheaper it would be

100$ x 150= $15,000
15,000$ x .08625 (tax)= $1,293.75
15,000$ x .20 (gratuity)= $3,000

$15,000 + $1,293.75 + $3,000= $19,293.75

which one is right?? haha i like the cheaper one haha
BbyJenny Posted:

Re: Question for Land's End Brides (Gratuity on tax?)


Posted by cbcf

I remember seeing this one time but i dont know if i am right or if this person was right in saying this but here it is

100$ a person x 1.20 (gratuity)= 120$
120$ x 1.08625 (tax)= 130.35$

then $130.35 x 150 (person minimun)= $19,552.50

is that right? cause if I did it the way you guys said it would be cheaper it would be

100$ x 150= $15,000
15,000$ x .08625 (tax)= $1,293.75
15,000$ x .20 (gratuity)= $3,000

$15,000 + $1,293.75 + $3,000= $19,293.75

which one is right?? haha i like the cheaper one haha



I think the first way is the classic example of taxing a gratuity, which is not supposed to be done (they can it is a 'service charge' as opposed to a gratuity I believe). The second way is the way it should be done.
BbyJenny Posted:

Re: Question for Land's End Brides (Gratuity on tax?)

Okay, so I was wrong about the way they calculated the tax. It's poorly written because the gratuity is listed just below a 'subtotal' that adds the price per person and the tax, making it look like the gratuity was charged against the subtotal. But I checked the math and it's just 20% of the price per person! Once again Land's End does it right!!

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