IRS Form 8846 Instructions: Credit for Employer Taxes Paid on...
8846 credit IRS Form 8846, officially known as the "Credit for Employer Social Security and Medicare Taxes Paid on Certain Employee Tips," allows employers to claim a credit against their federal tax liability for the employer portion of FICA taxes paid on tips received by employees..8846 credit
Fortunately, IRS Form 8846, Credit for Employer Social Security and Medicare Taxes Paid on Certain Employee Tips, offers restaurant owners a valuable opportunity to offset some of these costs. Here's a breakdown of what Form 8846 is, how it works, and how your restaurant business can benefit.8846 tip credit
Certain food and beverage employers (see Who Should File below) use Form 8846 to claim a credit for social security and Medicare taxes paid or incurred by the employer on certain employees’ tips.
