TIPS – To Insure Proper Service

Wednesday February 8, 2023 – The Treasury Department and Internal Revenue Service have announced the proposed Service Industry Tip Compliance Agreement (SITCA) program. A program designed to improve compliance with tip reporting regulations.

The SITCA program would monitor employers’ compliance by using their point-of-sale systems and allowing them to adjust tipping practices from year to year. Participating employers would demonstrate compliance by submitting an annual report after the close of the calendar year and receive protection from liability under applicable tax law.

This is part of the Administration’s plan to make sure no one making under $400,000.00 per year pays even $1 more in taxes. This rule focusing on waitresses will make sure the rich pay their fair share.

Attorney Steven A. Leahy reviews the State of The Union and the IRS focus on TIPS on Today’s Tax Talk.

Steven A. Leahy is a tax attorney in Illinois. He was the host of the long-running popular Radio Show “The IRS Radio Hour” heard every Sunday evening on AM 560 The Answer. Attorney Leahy is also the author of the book “Deal With Your IRS Problems Today!” You can get a FREE copy of this important book at Or Call 24/7 (312)664-6649

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