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When your hall is calculating what you owe should they charge you tax on the tip???

Sunrise813 Posted:

When your hall is calculating what you owe should they charge you tax on the tip???

Is this right ???

bride_to_be_2007 Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???

hmmm.....im not sure how they calculate it
greenfreak Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???

No. I was told that the tip is non taxable.

LuckySevens Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???

Im pretty sure they add the gratuity to the price and then tax the whole thing. I just did the calculations like that and it seems to work out to the price I was quoted.

... or maybe they tax it and then add gratuity to that total? Im stumped too now.
mcb916 Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???

I believe that it is illegal to tax a tip, but I think some halls get away with this by calling it something else. I'm not 100% sure though
JandJ1224 Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???

Yes, if they call it a service charge and not gratuity you can be taxed on it.

JXNOscar Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???

They cannot charge you tax on tip. It's illegal
you sould see a line for gratuity and the overall charges sans that grautity with tax. FM me if you want more info
melbalalala Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???


Posted by JandJ1224

Yes, if they call it a service charge and not gratuity you can be taxed on it.



This is correct.. when they add the 18% or 20% 'service charge' they can tax it. SUCKKKKS!!!
Maybride519 Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???


Posted by melbalalala


Posted by JandJ1224

Yes, if they call it a service charge and not gratuity you can be taxed on it.



This is correct.. when they add the 18% or 20% 'service charge' they can tax it. SUCKKKKS!!!



Yes! I just looked at my estimated bill and they do have a 'service charge'
Sunrise813 Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???


Posted by Maybride519


Yes! I just looked at my estimated bill and they do have a 'service charge'


Sunrise813 Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???


Posted by Sunrise813


Posted by Maybride519


Yes! I just looked at my estimated bill and they do have a 'service charge'



That S U C K S

JXNOscar Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???


Posted by Sunrise813


Posted by Maybride519


Yes! I just looked at my estimated bill and they do have a 'service charge'



That *****



but the service charge is NOT totaled to the subtotal and then taxed. It cant be. It is illegal
the statement should look like this:

Hall subtotal: $10
Gratutity: for arguement sake: $5 (should be 22% of the total but this is an example)
Tax: 8.375%

TOTAL= $10+ 8.37%= $18.37 + $5=23.75

thats how it is with every vendor I work with for events.

They CANNOT tax on tip, its a line item, sure but not taxable. That why its presented at the bottom.
jellybean1420 Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???

No....the tax and tip should be calculated seperately.

Meaghan729 Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???

If they call the tip a 'SERVICE CHARGE' it can be taxed.

if they call it a tip, it can't.
Maybride519 Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???


Posted by melbalalala


Posted by JandJ1224

Yes, if they call it a service charge and not gratuity you can be taxed on it.



This is correct.. when they add the 18% or 20% 'service charge' they can tax it. SUCKKKKS!!!



yeah..it says 'service charge 18%' and it is calculated in with the grand total. I am going to see my Maitre D tonight, should I question this?
kmkelly Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???


Posted by Maybride519


Posted by melbalalala


Posted by JandJ1224

Yes, if they call it a service charge and not gratuity you can be taxed on it.



This is correct.. when they add the 18% or 20% 'service charge' they can tax it. SUCKKKKS!!!



yeah..it says 'service charge 18%' and it is calculated in with the grand total. I am going to see my Maitre D tonight, should I question this?



See what your contract says, it depends on the contract language. If the contract says 'service charge', you can be pretty sure you're getting \taxed on it.
chander618 Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???

No there should not be tax on the tip

Mikeysgirl Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???

They tax it when they call it a 'service charge'. That being said I would assume that most halls call it a service charge!

DandS Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???


Posted by Meaghan729

If they call the tip a 'SERVICE CHARGE' it can be taxed.

if they call it a tip, it can't.



This is what I thought as well.
dancerandchef Posted:

Re: When your hall is calculating what you owe should they charge you tax on the tip???

So, do you need to give a tip to them the day of the wedding? I am being told that it's $3.00 per guest.
I am now getting confused.



dancer

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