Comments on: Are You Obligated to Pay Automatic Gratuity? http://www.tip20.com/are-you-obligated-to-pay-automatic-gratuity/761 Service Industry and Consumer Resource Wed, 25 Jan 2012 11:31:08 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Scott http://www.tip20.com/are-you-obligated-to-pay-automatic-gratuity/761/comment-page-1#comment-335 Scott Mon, 18 Jan 2010 04:08:05 +0000 http://www.tip20.com/?p=761#comment-335 I believe in WA State that they might be, according to the wording of the tax laws. WAC 458-20-119 (Sales of Meals): (8) Gratuities. Tips or gratuities representing donations or gifts by customers under circumstances which are clearly voluntary are not part of the selling price subject to tax. However, mandatory additions to the price by the seller, whether labeled service charges, tips, gratuities, or otherwise must be included in the selling price and are subject to both the retailing classification of the B&O tax and the retail sales tax. Notice how both tip and gratuity are included in the words listed after the phrase "mandatory additions". I believe in WA State that they might be, according to the wording of the tax laws.

WAC 458-20-119 (Sales of Meals):
(8) Gratuities. Tips or gratuities representing donations or gifts by customers under circumstances which are clearly voluntary are not part of the selling price subject to tax. However, mandatory additions to the price by the seller, whether labeled service charges, tips, gratuities, or otherwise must be included in the selling price and are subject to both the retailing classification of the B&O tax and the retail sales tax.

Notice how both tip and gratuity are included in the words listed after the phrase “mandatory additions”.

]]> By: admin http://www.tip20.com/are-you-obligated-to-pay-automatic-gratuity/761/comment-page-1#comment-75 admin Sat, 20 Jun 2009 23:04:46 +0000 http://www.tip20.com/?p=761#comment-75 We would like to thank Paul for his question and encourage you to ask any question that you may have about dining out or any other related situation. Tip20! We would like to thank Paul for his question and encourage you to ask any question that you may have about dining out or any other related situation.

Tip20!

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