Tip reporting and FICA tip credit
Employees report tips to employers on Form 4070; employers pay FICA on all tips and then claim the FICA tip credit on Form 8846 for the employer portion of taxes on tips above minimum wage. Most restaurants leave the credit on the table by underreporting.
Food cost accounting
Prime cost (food + labor) is the industry metric. Inventory counts at month-end, cost-of-goods-sold reconciliation, and daily sales summaries roll up into the margin story the return tells.
Sales tax mechanics
Florida taxes prepared food and most restaurant sales at the 6% state rate plus any county surtax. Catering, delivery fees, and service charges have their own rules. We file DR-15 monthly.
Common questions
- Are gratuities subject to sales tax?
- Automatic service charges yes (they're wages, not tips). Voluntary tips no, when kept separate from the bill.
Related
Corporation & Partnership Tax Returns
Forms 1120, 1120-S, and 1065 preparation for corporations, S-corps, and partnerships, plus owner K-1s, shareholder basis tracking, and multi-state filings.
Monthly Bookkeeping
Monthly, quarterly, and annual bookkeeping with bank reconciliations, a profit-and-loss report, and balance sheet within ten business days of month-end.
Small Business Payroll
Quarterly and annual payroll filings: Forms 940, 941, UCT-6, W-2, and 1099. We calculate, file, and make the tax deposits so owners can focus on growth.
Sales Tax Planning
Florida sales tax registration and multi-state nexus filings. We handle monthly DR-15 returns and correspondence with the Florida Department of Revenue.