Reporting Income
Posted by taxguru on April 30, 2006
Q:
Subject: small questionHi, I am 20 years old and i am trying to figure something out. I noticed you posted on google groups, so I thought you cold help.SO, I am in college and I have had 4 jobs last year. Two on campus jobs and two jobs in the summer. For one of the on campus jobs i am paid from an off campus firm. I am paid $40 a week. I have never met the people who pay me, and they do not submit a w2 form. I noticed this when dealing with finical aid. Am I going to jail? Or doing something illegal?
A:
All income you receive is taxable, whether or not the payer submitted a W-2 or 1099.
Get with a professional tax preparer ASAP to calculate your taxes for 2005. You probably won’t owe any actual income tax, but if no tax was being withheld from your paychecks, there is a good chance you will at least owe the 15.3% self employment (SE) tax.
Good luck. I hope this helps.
Kerry Kerstetter
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