LAS VEGAS (AP) - A Nevada union says a deal between casinos and
the Internal Revenue Service to reduce reporting requirements for tip income doesn't go far enough given a bad economy.
The Culinary Union, representing roughly 60,000 service workers, says tips are down 50 percent, making workers unhappy with IRS withholding requirements. The IRS has agreed with casinos to reduce
the amount casino workers must declare as tip income by 20 percent.
Union officials say many workers intend to drop out of the voluntary program to withhold taxes from tips, choosing to risk the possibility of an audit.
The program began less than two years ago. The IRS says 90 percent of tip-earning Nevada workers participate in the program.
Information from: Las Vegas Sun, http://www.lasvegassun.com
(Copyright 2008 by The Associated Press. All Rights Reserved.)