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Browse: Home / LEISURE / Dining Out / Restaurants

How can a restaurant pay bussers and dishwashers under the table?

cmbtax1: How can a restaurant pay bussers and dishwashers under the table?
I was in between jobs. I went to a restaurant in Oklahoma to be a dishwasher. The employees told me that the owner signed an agreement with the Oklahoma Tax Commission that he does not have to put his employees on the payroll. Actually the waitresses are probably paid under the table too. My friends at other restaurants say that they have never heard of the agreement that you can sign with the Oklahoma Tax Commission. Does anybody know how a company can do this? Is this true in any other states? How do i notify the legal government in this situation. What is the phone number?

Answers and Views:

Answer by brian8907
They’re making it up…it’s illegal! I would get out of the resturaunt asap!

Answer by CogitoErgoCogitoSum
Why do you care to rat them out? Unless someone is being hurt, who cares?

It is illegal to not pay taxes, that is true. But that isnt to say that an agreement cannot be forged in which the owner/employer is guaranteed to pay into taxes more than he would otherwise. Its possible that he is handling the legalities of the taxes on his own. Like when a store says “no sales tax” what they really mean is that they are covering the sales tax themselves and not factoring it into the ticket price, or in other words, the price tag already has taxes included. I think that as long as the employer is paying the government x-amount with no regard to the number of employees and their pay, but is guaranteed to pay in more, there shouldnt be a legal problem.

Answer by mike _
They can’t do that. Get out as soon as possible. The states Labor & Industry board should be able to help you, or at least get you to a agency that can. Just type Labor & industry and the state you are in in your web browser. You will find it. I say turn them in. it is 100% illegal and if someone was to get hurt on the job they would have very little legal recourse

Answer by Chris
This is an awesome opportunity to make some money for you. You can go to the IRS website and fill out form 3949-A which you can grab from .
If you read IRS Publication 733 which can be found on the www.irs.gov website and fill out form 211 you can even possibly get yourself a reward.

This guy is a scammer and he’s placing the employees at risk of also being included in the tax fraud. You cannot pay or get paid “under the table” without commiting tax fraud. So turn him in and get paid.

Answer by hovering
i would assume that what they are doing is illegal. there is no way a company would not have to put their employees on their payroll….for federal purposes alone, let alone state laws. they simply dont want to pay employment taxes so they pay all of their employees in cash.

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