HMRC is aware that employees who work in the service industry receive tips and that often those tips are paid without deduction of tax by the employer. Where the employer is involved in distribution of the tips, HMRC will expect tax and National Insurance to have been accounted for using the PAYE system.
HMRC has identified payments for tips, gratuities
To continue reading
View the latest version of this document, as well as thousands of others like it, sign in to Tolley+™ Research or register for a free trial
Web page updated on 17 Mar 2025 14:18