About Form 8846, Credit for Employer Social Security and Medicare...

8846 tip credit IRS Form 8846 allows employers in the food and beverage industry to claim the Credit for Employer Social Security and Medicare Taxes Paid on Certain Employee Tips. This benefit is a component of the general business credit, providing a dollar-for-dollar reduction in tax liability..

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.

8846 credit  The FICA tip credit can be requested when business tax returns are filed. It is reported on IRS Form 8846, which is sometimes called Credit for Employer Social Security and Medicare Taxes Paid on Certain Employee Tips. Determining if the FICA tax tip applies to your business can be a challenge.