taxes on tips

Do I have to pay taxes on tips?

Under the UK law, tips are classed as income hence they are taxable.

HMRC states that:

If customers give or pay tips directly to employees or leave them on the table and individual employees keep them without any involvement from the employer, then PAYE does not apply. Tax will be due on these amounts, but no National Insurance contributions will be due.

Luckily the EasyTip platform is designed to fully comply with HMRC rules.
We help workers collect tips without any involvement from the employer meaning no National Insurance Contributions should be due if the platform rules are followed.

How do I report my cashless tips?

EasyTip is a platform to collect tips so we are not at liberty to advise on individual tax cases
but  we can help direct you to the right information.
Select from the options below to understand how you can report your tips. 

HMRC Contacts

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Monday to Friday 6am to 6pm
Closed on weekends and bank holidays

Group 2488

Telephone: 0300 200 3300
Outside UK: +44 135 535 9022

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Pay As You Earn and Self Assessment
HM Revenue and Customs BX9 1AS United Kingdom

 

Useful links and downloads

 

 

HRMC guidelines on tips and service charge

 

 
 

 

HRMC guide to setting up personal tax account

 

 

 

HRMC tax return form

 

 

 

 

Example tax code change letter