Is this money that ATSI tried to keep from me taxable?

Question

They told me to do something and agreed to pay me at my hourly rate. (I had been their employee.) They then reneged and refused to pay until I threatened to report them to the state. They then sent me the correct amount of money, but incorrectly listed it as a non-taxable expense reimbursement, rather than wages, and did not withhold taxes. Do I still report it on my 1040?

Answer 1

It's income and therefore is taxable.

Answer 2

Perhaps that they meant it was THEIR non-taxable expense? Like they listed your work as their deduction?

I would report it................... The IRS sees all! :)