The Tax Questions Blog

Question: Do I need to report a workers comp settlement as earned income on my California unemployment form?

I just received a check for a workers comp settlement relating to an on-the-job injury some time ago. Do I report this as earned income on my California unemployment form? It’s not earned income, nor is it Taxable Income, but I want to do the right thing here. Any advice?

Answer: No it is not earned income but an insurance settlement.

The effects of increasing the federal taxable wage base for unemployment insurance (SuDoc L 37.213/2:95-1) …

The impact of inflation, unemployment, and secular influences on the distribution of personal taxable incomes in Australia (Working paper series) …

The taxable wage base in unemployment insurance financing, (Unemployment insurance monographs) …

Fitch Rates Jacksonville, FL’s Special Rev Bonds ‘AA’; Outlook Stable

NEW YORK–(BUSINESS WIRE)–Fitch Ratings assigns a rating of ‘AA’ to the following Jacksonville, Florida special revenue bonds: –$51,690,000 series 2010A-1; –$40,865,000 taxable series 2010A-2 (direct payment Build America Bonds). The Rating Outlook is Stable. The bonds are scheduled to sell via negotiation on Sept. 15. In addition, Fitch affirms the following ratings with a Stable Outlook …

Tips from the IRS-Unemployment Compensation

Question: 1099-MISC for 2008 – Total income $500?

Hi,

I worked for a company as a contractor for short time. In 2008, I got $500 check from the company for my work. That’s the only check I got and I only earned $500 in 2008. I haven’t received 1099-MISC from the employer and I tried to contact, but no response. I heard from friend that if the income is less than $600, the employer is not required to send 1099-MISC. So, if that’s true, how do I report $500 income to IRS? Where do I get employer’s tax id?

Please help. Thank you

Answer: Your friend is correct that the company will most likely not send you a 1099-MISC. They are not required to unless they pay you $600 or more.

You will not need the employer’s tax id as you will need to put that $500 of income onto a Schedule C, showing Self Employment Income. The top of the tax form will tell the IRS exactly what kind of work you did, and what type of expenses you may have listed (if any).

And you will have a Schedule SE, calculating Self-Employment Tax, to see if you will be paying in social security and medicare taxes on your income.

Hope this helps,
Shannon C

Value in MLP Tax Structure

Wunderlich Securities Senior Analyst Ethan Bellamy is another success story in a considerable line of exceptional MLP analysts. He focuses on about 15 MLP names, including a number of closed-end funds.

NBR | Tax Tip #7 Tax Year 2009 – The 1099 Mine Field | PBS

SeaChange International Announces Second Quarter Fiscal 2011 Results

ACTON, Mass.—-SeaChange International, Inc. , a leading provider of software and hardware solutions for video-on-demand television, announced financial results for its fiscal 2011 second quarter ended July 31, 2010.

Question: do tax cuts help the economy?

Answer: in the grand scheme of things… I don’t think so.

A second stimulus: Are tax cuts the answer?

President Obama reportedly is considering a second stimulus depending more heavily on tax cuts than the first. Will that save the economic recovery?

House Debates $825B Stimulus Package (Bill). Spending v. Reagan-John F Kennedy Tax Cuts

Question: if someone wants to roll overtheir 401k into a roth ira?

if someone wants to rollover their 401k into a roth ira their pretaxed 401k money will have to be turned into after taxed money durring the rollover to the roth ira. Is this money going to be taxed at the normal income tax rate for the individual so if you are in a 15% tax bracket would it be taxed at 15%. Or is it going to be claimed as ordinary income at the end of the year and taxed accordingly, in which case would be 50,000 salary plus 120,000 rollover would equal a Taxable Income of 170,000 which would equal a 35% tax bracket.

The money needs to be put in a roth ira because the preffered tax deffered retirement vehicle is a matching 401k so a traditional ira is not a option as the 401k will be kept to receive the employer contribution

Answer: You’ll get better access to people who can answer this question if you put in in the Taxes category.

Your 401(k): A vested interest

Question: My company’s 401(k) vesting period is longer than I plan to stay at my job. Should I still invest in my 401(k) knowing that I will not receive any employer matching? – Andrew, West Palm Beach, Florida Answer: The short one is, Yes, you should still contribute to your 401(k) account even if there’s [...]

“Gold Plated Health Care” Tax Glenn Beck’s Employees get screwed by the government