- The employer informed the employee that the tip credit is being taken;
- The employee keeps all tips unless they participate in a tip sharing arrangement;
- The employee customarily and regularly receives more than $30 per month in tips.
The youth minimum wage also remains the same. Employees under 20 years of age may be paid $4.25 per hour during their first 90 consecutive days of employment."
* Another victory in the battle against usurious Refund Anticipation Loans (RALs) pushed on clients by fast food tax preparation chains! This time is wasn't against Henry and Richard. WebCPA reports that "Liberty Tax Services Loses Deceptive Ad Suit."
According to California Attorney General Jerry Brown-
"Liberty Tax Service lured cash-strapped Californians into paying for high-cost loans, when they could obtain tax refunds free from the IRS just weeks later. This ruling bars Liberty from deceptive advertising that blurs the line between IRS tax refunds and pricey loans."
The article states that -
"Liberty Tax Service's print and television ads misled customers by promising 'Most Refunds in 24 Hours', according to Brown. In reality, Liberty was selling refund anticipation loans, not a tax refund. Customers had to pay an upfront fee of about $30 plus interest, at a rate that could be as high as 395 percent annually. According to the IRS, refund anticipation loans target low-income taxpayers, especially those who receive the Earned Income Tax Credit. Approximately 70 percent of Liberty's refund anticipation loan customers in 2006 and 2007 received this credit."
The ruling requires Liberty to pay $1.16 Million in civil penalties, $135,886 in restitution, and the Attorney General's costs.
Brown had reached settlements with Jackson Hewitt in 2007 and with Henry and Richard in 2009 over RALS.
Right on, Jerry!
* A "tweet" from NATP "turned me on to" this website on the new Car Allowance Rebate System (CARS) - aka the Cash for Clunkers program - which was recently signed into law by BO.