>>I'm not sure about Canada but here waiters and waitresses have a percentage of their bills, I believe 7.5%, withheld as taxes. So if you tip them less than 7.5% they are paying to wait on you.
>
>I checked with Lynn and she is unaware of any such system in Canada. She also says that with the types of tax evasions they see, worrying about a waiter who makes peanuts not reporting all his tips is waaaaaaayyyyy down the list of priorities.

Looks like the percentage here is actually 8% --

http://www.nysscpa.org/cpajournal/old/10428232.htm