i'm screwed by old boss

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NogginBoink

Diamond Member
Feb 17, 2002
5,322
0
0
Wait... your employer gave you a W2 instead of a 1099?

Does it show that the employer withheld taxes?

If that's the case, then I'd make the argument that th employer committed tax fraud, not you, and the employer should be held liable.

Start digging through your filing cabinet!
 

MegaloManiaK

Golden Member
May 27, 2003
1,207
0
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He has to send you a 1099 in january. If he's not paying taxes on you then he is required to send you a 1099 which outlines how much he paid you. If he sent you a w2 then you should go to the IRS and show them how he's doing tax evasion. If you went in knowing you would get a 1099 the price you charged would have been more to cover the taxes, he can't sign you up on a w2 and then claim you were a contractor.

I get a 1099 every year and it has the exact amount i was paid on it in order for me to do my taxes.
 

dman

Diamond Member
Nov 2, 1999
9,110
0
76
Originally posted by: Farbio
anyone have any tax experience on something that we can do? since obviously, while we were dj'ing there, we were also employees of him on his normal payroll?
does it matter at all to the irs that this gm went to jail for a decent amount of time on his last restaurant for tax evasion and fraud? will that help us in anyway?

thanks!


How did he pay you? If it was a check it should have shown the withholdings, etc. Same as the W2 he sent you at the end of the year, it should have shown that. If he didn't pay the IRS then I'd expect they should go after him, not you. (But I'm no expert).

If he didn't withhold anything, then yes--you'd probably have to go back and pay some. But, it shouldn't be much, since you already filed and claimed it as income. You'd get hit with an additional 7.5% of SS for that job... the rest should be taxed similar to your taxable income. I'd strongly suggest talking w/ an accountant. They can tell you if you are at risk and if you do have to claim as a business, they can probably help you reduce your taxable income via expenses and legal deductions.

 

MegaloManiaK

Golden Member
May 27, 2003
1,207
0
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Originally posted by: Farbio
i have no problem paying them the taxes, but i refuse to pay them as an independent business owner - which is more than 1/3 of my earnings judging by what my coworker got hit with. i have no problem having back taxes taken for the rate at which i paid my taxes normally

If you subtract medicare and SS from the taxes you usualy pay, then double it that is roughly how much you owe.

When you pay taxes for working somewhere the company really is paying half and you are paying the other half. When you contract you have to pay both.

The sad part is that the half you normaly pay as an employee is subject to all kinds of credits like the hope scholarship. As a contactor the half that you pay as a company is not subject to any of those things so you owe it no matter what.

 

Kelemvor

Lifer
May 23, 2002
16,928
8
81
Call a Tax Attorney, that's what they are there for. But don't cal those hyped up places like H&R Block, call a real one.
 

StageLeft

No Lifer
Sep 29, 2000
70,150
5
0
Didn't you get paystubs with the money removed fromt axes? If you did AFAIK it's not up to you to cover the damages inflicted by your employer, since you didn't know about it. If, on the other hand you never even saw taxes being removed I don't necessarily see how it would be his fault at all. Ah, I see...paid in cash. Well without a paystub or anything like that I'd guess you have to pay this money.

Hopefully not, but in the future if you're being paid make sure to get paystubs and document the supposed IRS withdrawals that an employer is making.