Sunday, August 9, 2009

Preparing income tax online. Question:?

Asking if my daughter received $20 or more in tip income not reported to employer. (I am assuming that the IRS expects people to answer "No" to this even if they did.) I have no idea, but I am assuming that she probably did. I haven't gotten to the end of the return, but what is a good figure to put down that wouldn't be a red flag?
Preparing income tax online. Question:?
Technically, she should have reported her tips to her employer, who takes them into consideration on her paycheck. The IRS assumes this has been done.





The question is if she got any that she didn't report. I agree, just say no.





More info:


http://www.bankrate.com/brm/itax/tips/20...
Reply:put no. im assuming she is a waitress or something similar. they have to fill out tip reports for their employers to report tips already. granted, most people arent honest on tip reports and only put enough down to meet minimum wage standards, but still, her tips have been reported.
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