No Employer Penalties for Tips or Overtime Reporting
IRS Notice 2025-62 indicates that the IRS will not impose penalties on employers for not reporting information regarding tips and/or overtime paid to employees for the 2025 tax year only, even though the employees need this information to compute the new deductions for tips and overtime on the employees’ federal income tax returns.
In our upcoming seminars, we will discuss strategies to compute these deductions without such information reported by employers.
Are you registered for one of our upcoming seminars in December and January? If you are not already registered, register here so you’ll be fully prepared with what you need to know, including the major new federal tax law enacted on July 4th.