SEC. 7. RECORD FORMAT AND LAYOUT (Continued)

FORM 8027 RECORD FORMAT (Continued)

Field Position Field Title Length Description and Remarks

320–331 Gross Receipts 12 REQUIRED. Enter the total gross receipts from the provision of food and/or beverages for this establishment for the calendar year. Do not include receipts for carry-out sales or sales with an added service charge of 10 percent or more. Do not include in gross receipts charged tips (field positions 248–259) shown on charge receipts unless you have reduced the cash sales amount because you have paid cash to tipped employees for tips they earned that were charged. Do not include state or local taxes in gross receipts. If you do not charge separately for food or beverages along with other services (such as a package deal for food and lodging), make a good faith estimate of the gross receipts attributable to the food or beverages. This estimate must reflect the cost of providing the food or beverages plus a reasonable profit factor. Include the retail value of complimentary food or beverages served to customers if tipping for them is customary and they are provided in connection with an activity engaged in for profit whose receipts would not be included as gross receipts from the provision of food or beverages (e.g., complimentary drinks served to customers at a gambling casino). Amount must be entered in U.S. dollars and cents. The right-most two positions represent cents. Right justify and zero fill. If no entry, zero fill. NUMERICS ONLY. DO NOT ENTER DOLLAR SIGNS, DECIMAL POINTS, OR COMMAS.

332–343 Tip Percentage 12 REQUIRED. Enter the amount determined by multiplying Gross Receipts Rate Times for the year (field positions 320–331) by the Tip Percentage Rate (field Gross Recipts positions 344–347). For example, if the value of Gross Receipts is “000045678900” and Tip Percentage Rate is “0800”, multiply $456,789.00 by .0800 to get $36,543.12 and enter “000003654312”. If tips are allocated using other than the calendar year, enter zeros; this may occur if you allocated tips based on the time period for which wages were paid or allocated on a quarterly basis. Amount must be entered in U.S.dollars and cents. The right-most two positions represent cents. Right justify and zero fill. NU- MERICS ONLY. DO NOT ENTER DOLLAR SIGNS, DECIMAL POINTS, OR COMMAS.

344–347 Tip Percentage 4 REQUIRED. Enter 8 percent (0800) unless a lower rate has been granted Rate by the District Director. The determination letter must accompany the magnetic/electronic submission. NUMERICS ONLY. DO NOT ENTER DECIMAL POINT.

348–359 Allocated Tips 12 REQUIRED. If Tip Percentage Rate Times Gross Receipts (field positions 332–343)is greater than Total Tips Reported (field positions 308–319), then the difference becomes Allocated Tips. Otherwise, enter all zeros. If tips are allocated using other than the calendar year, enter the amount of allocated tips from your records. Amount must be entered in U.S. dollars and cents. The right-most two positions represents cents. Right justify and zero fill. NUMERICS ONLY. DO NOT ENTER DOLLAR SIGNS, DECIMAL POINTS, OR COMMAS.

360 Allocation 1 REQUIRED. Enter the allocation method used if Allocated Tips (field Method positions 348–359) are greater than zero as follows:

1. for allocation based on hours worked.
2. for allocation based on gross receipts.

1998–37 I.R.B. 29 September 14, 1998