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SPAT TIPS as of 3/25/09(1) PO vs. TO/When buying open market (item not on a schedule) from a schedule holder, the order is not a TO/DO (D) it is a Purchase Order (P). Some schedule holders still reference
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Spat tips refer to tips given by guests to hospitality staff, such as waiters or bartenders.
Employers in the hospitality industry are required to report spat tips given to their employees.
Spat tips should be reported on the employer's tax forms, such as on Form 8027.
The purpose of reporting spat tips is to ensure that employees accurately report their tip income and pay taxes on it.
Employers must report the total amount of spat tips received by their employees.
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