I did work I just got paid under the table. I paid my own bills and have reciepts from paying my own rent out of my own checking account and also my Lease from my apartment. Will getting paid under the table open up a can of worms?
Also I was not in school at all. In June 2006 I got a new job working full time which is why I filed taxes this year. I made over $10,000. My father nor my mom in no way supports me and I have not lived with my mom or my dad in the past 4 years. I have been living with my fiance for the past 3 1/2 years. Maybe I worded some things wrong. Anyway Thanx for all the advice and any more advice that you can offer.
2007-02-08 08:38:20 · 6 answers · asked by Twyst_02 1 in Business & Finance ➔ Taxes ➔ United States
Tell the IRS that your father was not eligible to claim you and you wish to claim yourself. It should be your father's problem after that, not yours.
As for receiving money under the table, that would be a problem if you were audited for prior years. You have no proof of income so your father could have claimed you then and you could not argue it.
2007-02-08 08:45:53 · answer #1 · answered by Barkley Hound 7 · 1⤊ 0⤋
First of all you should declare your income. Since you made over 3,000.00 your dad does not have the right to claim you as a dependent. You also did not live with him for half the year.
Unfortunately, your dad has to file a 1040x (an amended return ) removing you as his dependent.
You can still file you just have to mail it to the : IRS, ATLANTA GA 39901. and yes that is the complete address.
Since you did work under the table you can still file what you made as self-employment, other income. Then add your regular income you made. You may still get a refund if the other job took federal taxes out.
Not to make a mess of things your dad needs to get his return amended as soon as possible. Then you should send yours in. Once you mail yours in it should take 8 weeks to process and get your refund in the mail.
If you send yours in before his is fixed, that could create a problem for him.
You should also call the IRS 800-829-1040. For more help with filing. Don't be afraid to honest with them cause they have some really good hints and help. Its better you ask them before they have to do the asking. Good Luck...
2007-02-08 09:35:58 · answer #2 · answered by Anaiyah M 4 · 1⤊ 0⤋
I assume you know that while you were working under the table, both you and your employer were committing the crime of tax fraud. OK, lecture over on that. That can of worms could be opened at any time for a lot of reasons, and could cause you trouble later. Since you didn't file a return, there isn't any statute of limitations since that doesn't start until a return is filed. And if you ever do get caught up to, interest and fines will be huge even if the original tax amounts weren't.
If you didn't live with your parents for at least half the year, and you made over $3300, then they can't claim you. It sounds like aside from the working under the table, they were not eligible to claim you. You can go ahead and file your return - you'll have to mail it in, not efile - and the IRS will ask each of you, you and your dad, to prove that you are the person who is allowed to claim you - since he isn't, he'd end up paying back whatever he got by claiming you, plus interest and possible penalties.
I'm going to guess that your dad has been claiming you all along, even though he wasn't entitled to, because he knew you were working under the table so wouldn't be filing a return to claim yourself, so he had a good chance of getting away with it. If that's the case.... how's your relationship? Any chance he'd turn you in for tax fraud for your under-the-table employment if he gets nabbed for claiming you illegally?
You might be better off just taking the hit this year and not claiming yourself, although by doing that you're just digging a deeper hole for yourself. But talk to your dad about this all first. How old are you? If you're over 18, which I assume you are from your comments, and aren't in school, and making over $3300 a year, then your dad can't claim you even if you were still living with him and he was supporting you. One way this could be handled, if your dad is willing, is for him to just file an amended return dropping you as a dependent. That would clear up any illegality on HIS part, at least for this year. If you were still working under the table the first half of 2006, the only way for you to file legally for this year is to include that income on your return.
The only totally legal thing for you AND your dad to do is to go all the way back to when this mess started, and file true returns for that time or amend any that were already filed - in his case, to drop you as a dependent once you no longer were, and in your case, to pay the back taxes on the under-the-table work. If you're not going to do that, at least file honestly from now on.
And if you aren't going to go back and clean things up, you could be borrowing trouble if you draw IRS attention to yourself.
2007-02-08 14:00:25 · answer #3 · answered by Judy 7 · 0⤊ 0⤋
Well your dad could get in big trouble.
Tell him you want to file & see what he says. See what you would have gotten back, ask him to reimburse you this year.
Tell him not to claim you again in the future.
If he does not agree, consult a tax professional for advice.
Good Luck
2007-02-08 12:36:25 · answer #4 · answered by ♣Hey jude♣ 5 · 0⤊ 0⤋
the thing with being paided under the table is none of your money got taken out for taxes so if they found out about that you would owe them money! so i would keep it hush if i where you
2007-02-08 08:48:27 · answer #5 · answered by smile182 3 · 0⤊ 0⤋
i would not file due to you will owe money on your taxes....just tell your dad to give you the extra money he got for you.....good luck.
2007-02-08 08:50:09 · answer #6 · answered by Jeanette M 4 · 0⤊ 0⤋