What happens if I dont claim a w2 on my taxes this year?

Question

I was laid off at my job on New Years Eve in 05'. I was out of a job until late April. While unemployed I was receiving unemployment checks. Well in early March I got a job for about 2-3 days and then quit going in because the woman was impossible to work with. Anyways, after that I kept on receiving my unemployment checks until I got my current job. Just the other day I got a W2 thing for a check they paid me for my few days there. I am wanting to know because I realize your not supposed to make unemp. claims with a job, and didnt want to turn in this thing to my tax lady and get in some trouble for doing that. So what happens if I dont give her the paper they sent me? Advice?

I realize they take taxes out on my unemployment. What I am wanting to know, is my 3 days of work going to affect when I was on unemployment? I was hardcore looking for a job, found this one, quit after 3 days because the woman running the place had something against me for some reason. So I quit going in. Well I wasnt there long enough for her to submit my employment info to whoever it needed to be sent to, and I was able to keep getting unemp. checks for a couple more weeks.

So if I do send in my W2 from my 3 day job, it wont show the dates of employment right? If it does, then wouldnt the unemployment people be able to see that I did in fact have a job for those 3 days? Its not much money to being with. The federal taxes withheld was only $14. I am only 22 yrs old, so I am trying to learn this the best I can.

Answer 1

There are two aspects to your questions: Impact on Taxes and Impact on your unemployment payments.
In regards to your taxes, if you don't give your tax preparer your W-2, she will prepare it on the assumption that all the data is there. However, when the IRS and State agencies cross check your tax return (via your Social Security Number) to the W2 that that company filed with them, they will notice the discrepancy and (most likely) assess you penalties & interest for an incomplete filing.
As to your unemployment, it is possible that the state that paid you the unemployment could look at your tax return and investigate your employment dates and then make you payback the money. Whether that happens depends on the state you live in, how much money you were paid (both in those wages and in Unemployment), and how busy the state unemployment agency is.

Answer 2

It's your call. But if you don't include that W-2, don't think that just because you don't hear anything about it once the IRS gets your forms, that you are in the clear. I once neglected to include a 1099 on my return and three years later I got a bill plus penalties.

I guess the best way you can decide would be to have your tax preparer determine which amount would be greater- the payment of taxes applicable to the W-2 (should you eventually get caught) vs. whatever fine and/or repayment would be applicable for you collecting a certain amount of unemployment when you technically should not have during those days.

In the end, it might just be better to claim them and see what happens.

Answer 3

If your daughter lives with you, why would you claim 0?? That would mean that you are giving the government a rather large interest-free loan all year. Assuming that you are a single parent and can file as Head of Household, and your daughter will be under age 17 as of the end of the tax year, you can claim up to 6 withholding allowances just about break even with the IRS at filing time. If you want to play it safe, claim 4 or 5, but don't claim 0!

Answer 4

I didnt get what u were saying u had a lot of unnecessary info in there but usually if it is a mistake the IRS will fix it automatically. Like say u forgot to put a W2 on ur income tax. But if it is something different then u gotta realize that they have everything in their system and in a few years when they catch up to 2006 they'll find ur faults and probraly Fine u for them (or jail time depending on how servere) but u may also be denined from unemployment checks in the future.
Good Luck

Answer 5

You will get into trouble. Generally the IRS does not check the dates of the check against the unemp. you collected. However not claiming it is fraud. They will not notify you right away about your mistake. They sometimes wait 7 years and then tell you that you owe them a small fortune. It happened to me, trust me. I have had a job where I also collected a couple of unemp. checks but I always filed it on federal. They are 2 different agencies. They don't really have time to check dates and all that. Just include it now and save yourself a lot of trouble later.

Answer 6

You need to claim it. The fact that you recieved the W2, means that the employer submitted the W2 to the SSA. If you don't claim it, when your return is reviewed it will kick out because you have an unclaimed W2.

A W2 doesn't show the dates you worked. Don't worry about the working for three days. If you don't bring up the dates that you worked with your tax person it won't even be noticed. Only give her the W2 no other info.

Answer 7

One of the easiest ways to raise a flag with the IRS is to fail to declare a W2. IRS computers match them up, and will issue you a balance due at the least. Guaranteed.

Your unemployment issue is with the State, not Federal. You may or may not hear anything about it. The worst that can happen is having to give back a few days worth of unemployment, but chances are you won't hear anything about this small amount.

Keep straight with the IRS. It is not worth the pain they can give you.

Answer 8

For sure you have to report it. Its not worth the time and trouble if they audit you. Your employer reports your earnings to the IRS, they will know if you didn't claim something, maybe not today, but eventually. The worse thing that can happen to you if Unemployment finds out that you worked those 3 days is they'll want to be reimbursed. I'm sure the IRS penalty will be much more than you earned those days.....file your taxes correctly!

Answer 9

You wouldn't be not claiming a w-2, you'd be deliberately not reporting income on your 1040 tax return. This is what got Al Capone sent to the slammer. Report it. Extremely unlikely that anyone will ever go back and challenge your unemployment checks, and if on off chance they did you would have a pretty good argument-job only lasted a couple of days after all. If your tax lady you referring to is hr block or something like that, I couldn't see them caring about any of that.

Answer 10

You will be audited. The current tax system now catches things like this and automatically generates an audit. The question is, will it also generate an audit through unemployment? If it does, you will be paying any unwarranted unemployment checks back through a garnishment very soon.

You used to be able to slip through with things like this on returns, you can't now. W-2s are filed also with the IRS---just to catch this sort of thing. I wouldn't fool with the IRS.

I think Hah said it best. My sentiments exactly.