Income tax write-offs

[V-Rated]

When Customers tip, the receiver is supposed to claim it on their taxes. Then why shouldn't the customer be allowed to write it off on their taxes?
Some say we are supplementing their wage, employers write off wages, why can't we?

Thoughts?... (I tried this topic in another post but it kept getting derailed, please don't get into right and wrong tipping practices. There are other threads about that)

~V~

[Captain Awesome]

You can, if it's a business-related meal.

[V-Rated]

Obviously... I'm talking personal.

~V~

[tgm929]

When you buy groceries the store records it as income, when you buy gas the gas station records it as income, when you buy a pair of shoes the store records it as income, when you go skiing the ski hill records your lift ticket cost as income, etc, etc, etc, etc, etc, etc, etc.

I'm thinking you probably should have thought a little harder before you started this thread.

[V-Rated]

So all cash transactions are reported as income? No receipt given?
A local Chinese restaurant gives 10% off if you pay in cash...ask for a receipt and they deny because of cash transaction!
ANYWAY... I'm asking your thoughts on writing it off. I don't know how much more clearer I can be. I'm more than aware of my purchases and income! I'm talking .....arghhhhh re-read it. I have no more time for ******!

~V~

[Always Sunny]

When you buy groceries the store records it as income, when you buy gas the gas station records it as income, when you buy a pair of shoes the store records it as income, when you go skiing the ski hill records your lift ticket cost as income, etc, etc, etc, etc, etc, etc, etc.

I'm thinking you probably should have thought a little harder before you started this thread.

And when I leave a tidy like 15%+ tip for my server and he/she decides pocket that money and claim only their hourly wage as income...who is recording that tip as income?

The OP isn't asking about gas or shoes, so don't bother derailing with those.

I'm thinking you probably should have thought a little harder before you replied to this thread

[LANDM]

And when I leave a tidy like 15%+ tip for my server and he/she decides pocket that money and claim only their hourly wage as income...who is recording that tip as income?

The OP isn't asking about gas or shoes, so don't bother derailing with those.

I'm thinking you probably should have thought a little harder before you replied to this thread

CRA will catch that in about the first second of their look at a hospitality workers tax return. There is no longer discretion in whether a server wishes to report tip income or not.

I'm thinking you should have probably thought a little harder before you replied to that reply in this thread.

[V-Rated]

I beg to differ landm. I know several people in the hospitality industry that do not claim. CRA has never said anything ever...we are talking 20 plus years. We all heard of the term cash under the table.

Now I am off topic....it seems many comments about tipping and if it is claimed, but nothing about us as consumers using the money as a tax write off.

~V~

[LTD]

its your choice to tip or not to tip so why should you be allowed to claim it if it was mandatory might be a different story

[V-Rated]

Exactly my point! It is my choice to tip, also my choice to make donations that I get to write off.
Just looking on thoughts of what people think about the right to have tips as tax deductions.
Thank you!

~V~

[Bsuds]

Exactly my point! It is my choice to tip, also my choice to make donations that I get to write off.
Just looking on thoughts of what people think about the right to have tips as tax deductions.
Thank you!

~V~

I guess we could ask the server for a tax receipt and if they can't/won't provide one then sorry no tip!

Tell them you will donate the same amount to your favorite charity. (and get receipt)

[Captain Awesome]

And when I leave a tidy like 15%+ tip for my server and he/she decides pocket that money and claim only their hourly wage as income...who is recording that tip as income?

These days they don't really have a choice on whether or not to declare it, it happens automatically. If customer pays by Visa/MC/Debit (which now represent vast majority of how people pay), it gets paid out on their paycheck and automatically reflects on their T4 forms.

With cash it's a bit harder, but not a whole lot of people pay by cash nowadays.

[V-Rated]

CA, is that how it actually works? I just figured the amount in the tip section was taken out of the till in cash.
When I waitressed as a young girl, that is what we all did.

~V~

[Randall T]

Simply put, tips are a gratuity and not a donation to a registered charity, so no personal deductions.

[LANDM]

So, I don't see why you should expect RevCan to start allowing personal deductions for expenses unrelated to the creation of business income. Am I totally misunderstanding your point?
Personal expenses are just that. Otherwise, we could write everything off against income.