Tep, if you email me with all the details you've posted here I can forward it to my dad (who is a tax lawyer).
'Time Bomb'
Natter 53: We could just avoid making tortured puns
Off-topic discussion. Wanna talk about corsets, duct tape, or physics? This is the place. Detailed discussion of any current-season TV must be whitefonted.
Uh, I don't know WHAT the IRS says for this situation. Probably b/c it's so. fucking. shifty.
I believe the IRS generally frowns on under-the-table income, which is pretty clearly what they're trying to do. Seriously - they've put you in a really shitty situation by doing things this way.
Tep, if you email me with all the details you've posted here I can forward it to my dad
Thanks, Jess! I'll put it all together and e-mail you shortly.
Seriously - they've put you in a really shitty situation by doing things this way.
And if I report the income -- no matter how it's categorized -- won't it end up screwing THEM, b/c it'll make the IRS go "Wait a minute...."?
And if I report the income -- no matter how it's categorized -- won't it end up screwing THEM, b/c it'll make the IRS go "Wait a minute...."?
I would think so, though it make take a while for it to filter through the IRS. Like, years.
But I agree. Your employers are putting you in a completely unfair position.
won't it end up screwing THEM, b/c it'll make the IRS go "Wait a minute...."?
Yup. They're probably hoping you'll be all, "Woohoo! Free money!" and they won't report it and you won't report it and everyone gets out of the taxes.
Although, IIRC, if it's less than $600, they nor you have to report it. I think.
Maybe that's why they are audited so often.
Heh. It turns out a couple I knew from grad school both teach Latin at Walnut Hills. That plus the friend who teaches at St. Ursula's, and I clearly have the Cincinnati Latin teaching mafia on my side... (more to the point, Walnut Hills couple have kids and will know about schools. So if job materializes, I can email them.)
My father is sort of an idiot, as well as an Eeyore type.
Yeah, that form that Dana linked to has "Please audit my employer" written all over it.
And if I report the income -- no matter how it's categorized -- won't it end up screwing THEM, b/c it'll make the IRS go "Wait a minute...."?
Probably. But your bosses are the ones who did this and put you in this position. Seriously, I think the only way to cover your own ass will put your bosses at risk. But you should cover your ass here, and not assume some of the risk like your bosses (apparently) want you to.
won't it end up screwing THEM, b/c it'll make the IRS go "Wait a minute...."?
Yup. They're probably hoping you'll be all, "Woohoo! Free money!" and they won't report it and you won't report it and everyone gets out of the taxes.
Maybe I'll just ask Big!Boss's wife (remember, she's the one in charge of all things financial, despite her lack of degree or training in such) how I should report it. After all, *she's* our finance person....
Although, IIRC, if it's less than $600, they nor you have to report it. I think.
If it's less than $600, they don't have to provide a 1099, but legally, any income a person earns -- even $1 -- should be reported.
Maybe that's why they are audited so often.
Ding ding ding! Yup. They do shit like this all the time. This "freelance" is the least of it.