Tip Credit

The calculated tip credit is displayed.

The tip credit is calculated for employees only when the Tip Cr Applies field on the Employees form is selected and the tip credit rate is entered in the Tip Credit Rate field on the Tax Code Exempt form.

The tip credit may never exceed the total amount of taxable employee tips entered through the D/E codes with type = Tips.

For more informaiton, see Calculating Tip Credit.