US Restaurant / 8027
Restaurant / 8027 Tip-Reporting Worksheet — allocate tips, compute tip-shortfall allocation and build the IRS Form 8027 large-food-establishment worksheet
Restaurant / 8027 Tip-Reporting Worksheet — allocate tips, compute tip-shortfall allocation and build the IRS Form 8027 large-food-establishment worksheet
Key Features
Form 8027 worksheet
Form 8027 worksheet — one annual return per establishment that computes every Form 8027 line box (charged tips, charge receipts, service charges under 10%, indirectly and directly reported tips, gross receipts, the 8% threshold, allocated t
Three IRS allocation methods
Three IRS allocation methods — gross-receipts method, hours-worked method (for establishments under the 25 full-time-equivalent employee limit) and the good-faith-agreement method, each following the exact math in the Form 8027 instructions
Tip-shortfall allocation engine
Tip-shortfall allocation engine — when reported tips fall below 8% of gross receipts, the allocable amount is spread only across employees who have a shortfall, in proportion to that shortfall, exactly as the IRS prescribes.
Reduced allocation rate support
Reduced allocation rate support — record an IRS-approved rate reduction (as low as 2%) with a determination reference, and the worksheet recomputes the threshold and allocation automatically.
Shift-level tip reports
Shift-level tip reports — capture charged tips, cash tips, gross receipts, charge receipts and hours worked per employee per period, split between directly and indirectly tipped staff.
Per-employee allocation lines
Per-employee allocation lines — a transparent line per directly tipped employee showing their gross receipts, their share of 8% of gross receipts, their reported tips, their shortfall and their final allocated tips.
Large-establishment test
Large-establishment test — determine whether an establishment even needs to file, using the more-than-10-employees-on-a-typical-business-day test.
Establishment register
Establishment register — track each food or beverage location with its EIN, establishment number, type, and address as they appear on the paper form.
Filing deadline reminders
Filing deadline reminders — a scheduled action flags returns that are not yet filed as the February 28 (paper) / March 31 (electronic) deadline nears.
Role-based access
Role-based access — clerks maintain tip reports for their own establishment while managers own the worksheet, the allocation and the filing, enforced by record rules.
Screenshots
Why Choose This Module
Waiters, waitresses, bartenders and other directly tipped employees log the charged tips, cash tips, gross receipts and hours behind every shift. Bussers, runners and service bartenders log their indirect tips. The worksheet then rolls everything up into the exact Form 8027 line boxes, applies the correct 8% (or IRS-reduced) allocation rate, and — when reported tips come up short — runs the official IRS shortfall allocation so each directly tipped employee's allocated tips are computed exactly the way the Form 8027 instructions describe. Nothing is hidden, nothing is faked, and every figure traces back to the shift-level tip reports that produced it.
Specifications
- Compatible: Odoo 18.0 / 19.0
- License: OPL-1
- Languages: English
- Author: Pokutsoft
- Dependencies: base, mail
- Support: support@pokutsoft.com
Update date: 2026-07-05