Senate votes to relieve managers of taxing unreported tips
JEFFERSON CITY (AP) - The Missouri Senate overwhelmingly approved a measure Thursday that would specify businesses are not responsible for withholding taxes from tips that employees fail to report.
Restaurant managers said they should only be responsible for withholding state income taxes from wages and reported tips.
Owners said the state's Department of Revenue has been trying to collect from employers when the department thinks workers have not reported cash tips as income.
They said they must trust employees to report cash tips because there is no way to track that income.
The measure passed 31-0 and now goes to the House for consideration.
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