Originally Posted by
dguruswamy
Sorry but you are wrong. First, in the USA the IRS requires large restaurants to assume certain amount of gross sales for the tables served by a waiter as tips. The waiter pays self employment tax on that amount
Conceptually the same in the UK, and doubtless elsewhere as well. Waiters are taxed on notional tipping amounts here as well.
http://www.hmrc.gov.uk/working/bens-...ps-bonuses.htm