Reporting Tips
If you work in an establishment covered by the measures respecting tips, you must report your tips in writing to your employer at the end of each pay period by completing a Register and Statement of Tips (form TP-1014.4-V) or a similar document. This applies whether you receive tips directly (for example, as a waiter, valet, door attendant, porter, delivery person or cloakroom attendant) or indirectly (for example, as a busser).
Your employer must accept your statement of tips and take the full amount into account. Be sure to keep your part of the statement for your records.
- Tips are the exclusive property of the employee who receives them. If there is a tip-sharing arrangement, the tips belong to the employees concerned.
- Your employer cannot require you to pay credit card costs.
How to report tips
In the statement of tips, enter your total tippable sales. Include sales (before taxes) where customers:
- left you a tip in cash during the day;
- left you a tip by credit or debit card which you received during the day; or
- did not leave you a tip.
Do not include sales of food and beverages for consumption elsewhere than on the premises (for example, sales in a food court or deliveries).
How to calculate tips
Follow the instructions below to calculate the net tips to report to your employer for a pay period.
Add the following amounts:
- tips you received during the day on sales made that day or on a previous day;
- tips you received under a tip-sharing arrangement;
- any tips you received for work as a valet, door attendant, porter, delivery person or cloakroom attendant that you did not receive under a tip-sharing arrangement.
From the result, subtract the tips you remitted to other employees under a tip-sharing arrangement.
If, for example, you receive tips equal to 15% of your sales, you must report your total tips and not just the percentage equal to the allocation rate (for example, 8%).