TIGTA`s audit report contains nine specific recommendations to help the NTRCP improve its management of agreements and tipping trials. The IRS would have accepted the recommendations and indicated that it planned to take corrective action. The GITCA program aims to promote compliance with tipping provisions by employers and workers in the gaming industry and to reduce related tax disputes. The agreement is reached by the employer who encourages the participation of workers. Employees then report their peak income or beyond limits and taxes are collected accordingly. Like other wages, tips are subject to employment tax under the Federal Insurance Premiums Act (FICA), the federal Unemployment Tax Act and the withholding of federal income tax. The IRS estimated that in 2006, there was a „tax deficit” of $235 billion between the revenues that taxpayers should have reported and what they actually reported, and that about 10% of the tax gap ($23 billion) was due to unreported tipping of employees. TIGTA conducted the audit „to determine whether the IRS uses the National Tip Reporting Compliance Program (NTRCP) to ensure a balanced and appropriate report on taxpayer compliance in areas where tips are common. Detroit casinos are full of excitement. You`ve got the game. They have incredible food options, and gambling, entertainment, gambling, exotic drinks and gambling, visions of possible celebrities and, of course, gambling. Oh, my excitement.
Have you ever thought about hard-working employees who work in casinos, who are there to serve and help customers meet their intense needs, to risk all their cheques and savings, to see if the fruit will be chained in a slot machine or if the cards magically add up to twenty-one? In particular, bartenders and waiters deserve a huge amount of recognition for the thankless work they do in Detroit casinos. Some who are unfamiliar with the Detroit casino environment can imagine that bartenders and waiters in Hawaii`s favorite shirt are waiting for Mr. Joe Out-of-town, eating and drinking every hour of the day and switching as if he were spending Monopoly money. We`re sorry it`s not Las Vegas, or Reno, it`s not even Atlantic City.