Whether you are self-employed or not, any gratuities you are given, either by directly from a customer or even from the company you work for, will all have to be declared for tax. However, whether you have to declare the money or your employer does is not always obvious, and if you do not usually have to complete your own tax return, understanding how to declare your tax is not always obvious either.
The matter is further complicated by the fact that certain companies are unaware that such money needs to be declared and by others who simply choose not to. The employee can therefore be left in a very strange position, not knowing whether the tips they have been given are all theirs or not.
In such circumstances, it is usually wise to seek tax advice. There are many sites online that will be able to help you to understand whether not you need to complete a yearly return and even whether or not your tips may have already been estimated by the tax office and a PAYE code issued to you accordingly. Furthermore, when bonuses come into play, you may also need to know whether this is going through the books or whether you need to pay tax for such a reward yourself separately.
It may seem very unimportant to declare tips, but should you choose not to and ultimately get found out, you may well find that you are as liable for prosecution as those who have evaded any other form of tax. Therefore, knowing your rights and indeed knowing your current legal position is likely to be extremely important, even for those in part time jobs who only receive tips now and again. Whilst a chat with your employer may help you clear things up, it is still always worth seeking advice from an individual or company that specialises in tax and all the laws that go along with it.