QuestionJuly 15, 2025

True or False Question True or false: Employers do not have to withhold taxes on employee tips. True False

True or False Question True or false: Employers do not have to withhold taxes on employee tips. True False
True or False Question
True or false: Employers do not have to withhold taxes on employee tips.
True
False

Solution
4.1(296 votes)

Answer

False Explanation Employers are required to withhold taxes on employee tips if the tips exceed a certain amount. This includes federal income tax, Social Security, and Medicare taxes.

Explanation

Employers are required to withhold taxes on employee tips if the tips exceed a certain amount. This includes federal income tax, Social Security, and Medicare taxes.<br /><br />
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