I did two egg donation cycles last year, receiving $11,300. The compensation is termed in my contracts as "compensation for discomfort and inconvenince" (or something along those lines, it's not a direct quote).
2007-01-09 10:44:49 · 4 answers · asked by diaryofadonor 2 in Business & Finance ➔ Taxes ➔ United States
It is EARNED INCOME. YOU BET!
2007-01-09 10:49:45 · answer #1 · answered by Notorious 4 · 0⤊ 0⤋
You would have to claim the money as income, but you could also offset the revenues with expenses related to the "business". In a previous Tax Court case, there was an individual with a rare blood type that "sold" his blood and claimed a depletion deduction for his "cost" of producing the blood. The IRS originally disallowed the deduction, but the Tax Court upheld the deduction. The basis of allowing the deduction was that being of a rare blood type, they couldn't just get the blood from somewhere else. While the case of your eggs may be similar, it will also be different enough where the IRS could challenge the deduction. I also wouldn't want to be the one to try to come up with the depletion percentage of you giving up your eggs, given that women do produce a finite number of eggs over their lifetimes.
2007-01-09 10:57:12 · answer #2 · answered by jseah114 6 · 0⤊ 0⤋
I expect it would qualify as "other income" on line 21 of the 1040. I was unable to verify this on the IRS website.
2007-01-09 11:07:48 · answer #3 · answered by STEVEN F 7 · 0⤊ 0⤋
I was just wondering where u donated I am looking for a good place i live in maryland email me mlopez0220@yahoo Thanks
2007-01-12 16:32:57 · answer #4 · answered by mlopez0220 1 · 0⤊ 0⤋