Full-service restaurants have long been comfortable applying automatic gratuities to their customer checks, especially for parties of six or more. A new ruling by the Internal Revenue Service — which takes effect this month — is likely to spell the death knell for automatic gratuity policies. Are you ready for the new policy?
Tips for restaurants on the IRS automatic gratuity rule
This op/ed was contributed by Jordan R. Bernstein, an associate at Michelman & Robinson and a member of its Hospitality Law Group. This article does not necessarily reflect the opinions of the editors and management of Nation’s Restaurant News.