5 replies to this topic

[KobayashiPoemi]

I am curious. I got a little job on campus and my father said that a tax letter came in for me and he'll forward it to my dormitory. I think it may be a W-2 for my job. Now what I have been curious about for the longest is....do I have to mention the money I made at Tekkoshocon LAST year on it? I mean, I fill out the quarterly taxes and already paid tax on the money I made there so does it need to be brought up when filling out my income tax? I don't want to get in trouble with the law.

[EmAble]

As far as I know, I think if your name is on the quarterly tax forms you have to claim your Tekko money as income as well.  It is income after all!  I don't remember exactly where on your taxes it goes...but technically it is income and ya have to pay taxes on it!  Wheeeeee!!

[manifesteddreams]

If I remember correctly, you will put both your Tekko income and the amount you paid to the state somewhere on your form. You won't have to pay again, you just have to indicate these numbers.

[EmAble]

Yeah, it's pretty simple!  As long as you've paid taxes at all that year (income taxes, not sales tax) that would usually cover the extra you've made, I think you'd just get less back as a return.  Something like that...but the collected and paid sales tax you've reported is different than the income tax you'd owe on the money you've made from it.  And unless you're making tens of thousands of dollars from your table (and if you are I want to know your secret!!  hehe) then what you've paid in income taxes already usually covers it.

Hope that helps at all!!  

[KobayashiPoemi]

EmAble, on 17 January 2012 - 06:29 PM, said:

Yeah, it's pretty simple!  As long as you've paid taxes at all that year (income taxes, not sales tax) that would usually cover the extra you've made, I think you'd just get less back as a return.  Something like that...but the collected and paid sales tax you've reported is different than the income tax you'd owe on the money you've made from it.  And unless you're making tens of thousands of dollars from your table (and if you are I want to know your secret!!  hehe) then what you've paid in income taxes already usually covers it.

Hope that helps at all!!  

Even if I did make tens of thousands of dollars, if I already paid tax for it in a quarterly tax form, why would I have to pay additional money for it later when filling out my W-2?

[EmAble]

KobayashiPoemi, on 17 January 2012 - 11:07 PM, said:

Even if I did make tens of thousands of dollars, if I already paid tax for it in a quarterly tax form, why would I have to pay additional money for it later when filling out my W-2?

Because the taxes you paid were for Sales Taxes, they don't have anything to do with the money you earned and therefore have to claim as income.  If your already paid income taxes don't cover it (say if you haven't paid any income taxes all year if you don't have a jobby job), you'd have to owe it to the IRS.  Sales tax is state by state, so that was paid to PA.  Income taxes are to the IRS.

I'm no tax expert, but I had tons of questions when I did my taxes last year since we have a table, and most of them were answered when I went to (I think it was) HR Block or something like that.  Other questions were answered by an accountant friend, so I'm pretty sure that's how it goes!

It's all so involved just to sell things at an Alley!  Paperwork is no fun