Jeez, lighten up, Shayna. No, I actually read up on the tax laws that I was required to follow regarding my cleaning lady and reported and paid the taxes for her. I just never heard of a teenager exception to the rules, and I don’t recall reading it in any of the IRS publications that I, yes, READ at the time this was a concern to me. I’ve never claimed to be a lawyer or an accountant, simply an ordinary taxpayer who happened to have personal knowledge of how it applied to my situation some years back. For all I know, that teenager exception is a new addition to the tax laws since the time it was relevant to me (since I haven’t had a cleaning lady for over ten years now). Since I simply don’t recall ever reading about it or hearing about it at the time I was investigating this issue, I thought it fair to warn the OP that it could potentially be a problem. I mentioned the media simply because that’s where most people get their knowledge about whether such rules apply to them, by laughing and pointing at politicians who get caught behaving hypocritically.
So I guess thanking you for successfully fighting my ignorance isn’t suffiicient? Should I climb up on the cross now, too? Flay my skin from my body and throw it into a bonfire for your enjoyment? Good lord. If an acknowledgement that I’ve learned from what you pointed out isn’t sufficient, what the fuck is?
No, it does not. I never said otherwise. However, in case you missed the sentence below, this is where the confusion comes from.
Doesn’t this sound to you like WIHACN is already “this” close to staying home? FFS!
Shayna, I have a couple of sincere questions. Let me state that I admit to having extremely limited knowledge of tax laws. Now, first off, how do we know that this girl is a dependent and does it matter if she is or is not a dependent (based on the other info you gave in your earlier post)? Also, would WIHACN need to consider state tax laws for her situation?
Listen…the mom went to an AA picnic. This girl doesn’t know or care about any of the people there. It’d BETTER be free travel expenses, since she didn’t choose the destination. Food and lodging on a business trip are always included. That isn’t part of her compensation. So out of 48 hours, she spent 20 working and 16 sleeping. Doesn’t leave much in the way of “vacation” time.
Well, you might start with an apology to Wish for scaring her into thinking she was doing something illegal. Perhaps that’s why my reply today was so much harsher than yesterday’s – not only did you admit to ridiculously stupid reasons for the erroneous conclusions you drew, but Wish confirmed my concern that you did, indeed, cause her to worry about the legality of her actions.
That’s why we have proscriptions here against dispensing medical advice. That’s why our resident attorneys always post disclaimers such as “I am not your attorney, I am not licensed in your state, this is not legal advice,” etc., etc. It is irresponsible to dispense professional advice you aren’t qualified to give. And it’s potentially hurtful and, frankly, rude, to make outright accusations of illegal behavior when you’re only guessing, based on 10-year-old information you learned as it related to an entirely different set of circumstances in your personal life.
You didn’t qualify your post. You didn’t explain that you aren’t a lawyer or an accountant, or tell her that you were “simply an ordinary taxpayer who happened to have personal knowledge of how it applied to [your] [entirely different] situation” ten years ago. You didn’t merely “warn the OP that it could potentially be a problem,” you stated, as if it were fact, what she should be paying in taxes. You admonished her not to talk about her lack of tax withholding because the IRS might take a dim view of that. You literally accused her of violating Federal tax laws. Laws which you not only haven’t studied as a profession, let alone refreshed your knowledge of in the last 10 years, but laws you didn’t even bother to look up to see if they might even apply in this situation before you posted your “warning.”
I apologize for coming across harshly. I just think this is a serious issue, and I could tell from your response to me today that although you acknowledged that you’d learned the facts you’d gotten wrong, you didn’t take any responsibility for the accusatory tone of that post or the effect it had on its target, Wish.
Before I answer any further, let me state that although I have an accounting degree, have prepared income tax returns for qualified families through the IRS’s VITA program, have taken continuing education courses in tax preparation, continue to do tax preparation for friends, and for the past 6 years have managed the finances and books for 6 business entities, I am not a professional CPA. I am not your accountant. For specific questions about tax laws in your state, consult with a professional accountant or tax attorney in your area. I do, however, in addition to the aforementioned “qualifications,” know how to look things up on the IRS website to verify or confirm my knowledge. With that in mind. . .
We know that this girl is a dependent because the OP told us she is a minor child who lives with her mother (and the mother’s boyfriend, with no financial support from bio-dad). If her mother does not claim her as a dependent on her tax return then she is a stupid idiot (which I guess we can’t rule out, come to think of it ;)).
It only matters to Heather, whether or not she can be claimed as a dependent on her mother’s tax return, as filing a return with the Federal Government is her responsibility, not her employer’s. Her employer (in this case Wish), isn’t even obligated to withhold Federal Income Tax, even if Heather ended up owing any. See again Publication 926, which states:
I couldn’t begin to answer questions about tax laws in specific states since they are all vastly different, but generally, yes, Wish would have to consider state tax laws as regards employment and unemployment taxes, as well as whether or not she might be required to carry worker’s comp insurance. But since Mama Tiger’s post only referred to Social Security tax and how the IRS (a Federal agency) might view Wish’s lack of withholding and/or payment of taxes, those were the only corrections I addressed.
$60 a day, plus food, plus at least some free time still sounds like a reasonable compensation to me. Obviously mileage varies, but the girl took the job so I assume she was satisfied with the offered wage or she’d’ve declined or asked for more money. And now that she sees what the level of responsibility would be on such a trip, perhaps next time she will ask for more. Doesn’t mean she’ll get it or that the woman ripped her off at that wage, but she’s certainly free to negotiate.
Thanks for the info. I figured she was eligible to be claimed as a dependent but did/does the mother claim her as such (that’s where I was going with my question). Not that it impacts WIHACN.
“Unless they’re not worth more than a few extra bucks per week. I don’t know…”
Is pretty much implying that you think she doesn’t value her kids since she is working for only a little extra money. I was pointing out that how much she comes home with does not have anything to do with what her kids are worth. How is she supposed to respond to that statement? No, my kids aren’t worth more than a couple bucks. You’re right.