IndianTip credit
A two-location Indian restaurant claims the tip credit it had been missing
Servers reported their tips correctly, but the owner had never claimed the FICA tip credit on Form 8846.
≈ $15k / yr
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Industry playbook
Indian restaurants
Family-run kitchens, lunch buffets, catering for weddings and festivals — and owners with financial ties to India. We understand both the restaurant and the family behind it.
Where the details matter
What makes this business different
1
Catering and event sales
Large catering orders, deposits and off-site events need the right sales tax treatment and clean revenue tracking.
2
Service charges vs. tips
Automatic gratuities on large parties are wages, not tips — they're handled differently for payroll and don't count toward the tip credit.
3
Imported ingredient costs
Spices, rice and specialty items swing in price. Monthly food-cost tracking keeps menu prices ahead of your costs.
4
Accounts and income in India
NRE/NRO accounts, fixed deposits, mutual funds and property in India raise FBAR, FATCA and PFIC questions.
How we help
- Monthly bookkeeping with food-cost and labor reporting
- Payroll, tip reporting and the FICA tip credit
- India tax returns, FBAR and the India–U.S. tax treaty
- Entity setup and S-Corp elections for growing owners
- Catering contracts and deposits tracked correctly
What to bring to your first meeting
Don't have everything? That's normal — we'll help you gather the rest.
A typical engagement
What working with us looks like
Illustrative examples based on common situations — not specific client results.
FAQ
Common questions
Are automatic gratuities on large parties tips?
No. The IRS treats mandatory service charges as wages, not tips. They're subject to payroll withholding and don't count toward the FICA tip credit.
Is interest on my NRE account taxable in the U.S.?
Yes. NRE interest is tax-free in India but is taxable income for U.S. residents, and the account itself may need to be reported on an FBAR.
Other industries we serve
Let's take the first step toward financial clarity.
Tell us about your business and we'll get back to you with clear next steps — no obligation.