2006-11-27 06:21:48 · 9 answers · asked by jessica2295 1 in Business & Finance ➔ Taxes ➔ United States
All pay has to be taxed...bummer eh?
Mike
========================
2006-11-27 06:24:05 · answer #1 · answered by MN-Mike 4 · 3⤊ 0⤋
According to law, yes. It actually is subject to a higher WITHHOLDING than regular pay (in most cases), but not higher taxes. That is, when you file your taxes, you will receive a higher refund that in essence returns the over-withheld amount.
If they weren't taxed, then I would request that my entire pay be a "holiday bonus" just paid to me over time, like every month...... Tax vacation!!
2006-11-27 06:31:15 · answer #2 · answered by jooker 4 · 1⤊ 0⤋
It should be taxed if reported as income, but I don't like that it's taxed more than your regular paycheck.
2006-11-27 06:26:36 · answer #3 · answered by zebrabeads 1 · 0⤊ 1⤋
A bonus payment is considered a supplemental wage which incurs a federal tax rate of 25% plus standard Social Security and Medicare tax of 6.20% and 1.45% respectively.
2006-11-27 06:25:17 · answer #4 · answered by jkhickey 1 · 2⤊ 3⤋
It will be taxed the same as regular income.
2006-11-27 13:10:17 · answer #5 · answered by stlouiscurt 6 · 0⤊ 0⤋
Yea it should be taxed about 40%.
2006-11-27 11:03:19 · answer #6 · answered by shaydzofluv 2 · 0⤊ 2⤋
Should it be? Well, I'd prefer the answer to be no!
Will it be? Yes, if it's reported by your employer as part of your total compensation.
2006-11-27 06:23:52 · answer #7 · answered by Snoopy 5 · 3⤊ 0⤋
depends on employer, my company offers cash as a bonus.
2006-11-27 06:24:52 · answer #8 · answered by tahid59 s 2 · 0⤊ 2⤋
The IRS requires it. No ifs, ands, or buts.
2006-11-27 06:46:10 · answer #9 · answered by Gem 7 · 0⤊ 0⤋