Please check with your tax office or tax advisor for the correct procedure for accepting and taxing tips. Accepted tips will be fully reflected on your Shore POS sales reports and invoices.
How do I activate the tip feature?
Make sure your iPad has the latest version of the Shore POS app installed.
The feature is automatically activated.
Once you make a sale, you will see the new feature in the check-out.
How do I accept tips?
- Open the ShorePOS app. The checkout menu will open automatically. Otherwise, tap on Shop > Checkout.
- Now add products to the cart by tapping the respective product in the list or scanning the EAN code.
- Now tap on the amount in the upper right corner to get to the second step, the selection of the payment method.
- You have three options to enter tip:
- If the given amount is higher than the sale total, the button X€ are tip will be activated on the left side. By tapping it, the tip will be added accordingly.
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- Alternatively, tap on Add tip.
- Total amount: enter here what the customer paid in total.
- Tip: Here you can manually adjust the tip amount.
- If the given amount is higher than the sale total, the button X€ are tip will be activated on the left side. By tapping it, the tip will be added accordingly.
Note: With activation of the toggle, the tip is taxed.
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Employee tips are tax-free, regardless of the amount and whether they are cash or non-cash.
The situation is different if the tip goes to freelancers or the business owner. Then the tip is subject to income tax and must be properly accounted for in the cash register.
The tax rate for taxed tips is always based on the highest tax rate of the basket.
What about tips given by card payment that I pay out in cash at the end of the day?
As far as taxation of tips by card payment is concerned, the same rules apply as described above. It is important that the tip was recorded cleanly in the app using the tip function so that it is documented in the Z report.
If you pay your staff tips at the end of their shift from the cash in the cash register, be sure to record this as a tip withdrawal in the cash book. That way, your tax advisor can better account for the withdrawal. You can easily see how much tip was taken in the tip reports in POS Manager.
Please be sure to consult with your tax advisor on how to handle tips received by card, or what is the best course of action in your case.
Refunds
When creating returns for invoices that include tips, there is an option to return the (full) tip as well.
Case A: I receive back a product that is broken, but the tip was correct.
Case B: I accidentally created an invoice with €100 tip instead of €10, and I want to create a return for all items.
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The tip can be returned regardless of the condition of the items. The tip itself only as a total amount.
Where is tip noted?
The given tip is shown in the daily closing, cash book (cash), new tip report, invoice and invoice details (iOS), while the tip has no effect on other reports such as bestsellers and sales reports.
The tip report in POS Manager
- Open the POS Manager
- Go to Reports > Live Reports > Tip Report
- In the upper area on the right side, you can define the period more precisely by specifying the start and end date or selecting one of the predefined options.
- Then you can view the daily, weekly, or monthly overview for all or individual employees.
- Below you will find a list of tips by transaction.