1. Please take 30 seconds to register your free account to remove most ads, post topics, make friends, earn reward points at our store, and more!  
    TalkBass.com has been uniting the low end since 1998.  Join us! :)

Do you declare your income from gigs?

Discussion in 'Band Management [BG]' started by Atshen, Jun 28, 2004.

  1. Atshen


    Mar 13, 2003
    Grim Cold Québec
    I guess pro musicians do it all the time. But you, the week-end warrior, the hard-working nine-to-fiver who plays a few humble gigs a month, do you declare the money you earn from gigs?

    Also, I'm sure some people on this board could guide us through the meanderings associated with the declaring of your musical income.

    Let's discuss!
  2. NJL


    Apr 12, 2002
    San Antonio
    i do. i want to make some social security payments via the self employment tax (i think that's the way it works - my accountant handles this this for me, he just tells me what i need to pay)

    i also get union pension on casual gigs and studio dates.

    if all goes well, i will not have to worry toooo much when i'm as old as Thor.
  3. brianrost

    brianrost Gold Supporting Member

    Apr 26, 2000
    Boston, Taxachusetts
    I started filing after a bandleader submitted a 1099 that told the IRS how much he had paid me. I believe the 1099 is required to be filed once the income is greater than $600 in a given tax year.
  4. BustinJustin

    BustinJustin banned

    Sep 12, 2003
    NYC, LI too
    I haven't, once I expense my gas, Ins, car payments etc I would :smug: .
  5. ZonPlyr


    Apr 29, 2003
    Pasadena, CA
    I do. It's just easier for me to use the music as a business and write-off depreciation on all the gear i seem to "need" during the year. It has worked out pretty well though I've been able to use the studio in the basement to generate some income and therefore write off a certain percentage of household expenses. I can also take a deduction for wear and tear on my vehicle, gas, insurance and mileage. I play anywhere from 15-25 gigs a month so I needed a way to offset the income since most of the gigs 1099 me. As long as I am trying to make a profit I can expense a certain amount of loss, I really just want to break even. This does help to justify a certain amount of GAS though.

    And to Bustin Justin: Jane's Addiction, Ritual de Lo Habitual, Stop
  6. Atshen


    Mar 13, 2003
    Grim Cold Québec
    Hey, thanks guys! I thought this would turn into some kind of megathread, since there are many of us weenkend warriors. But I guess the small popularity of the "Band Managenment and Performance" is the culprit here. :meh:

    Anyway, NJL told us that he's part of the union. Anyone else? I'm considering joining "La Guilde des Musiciens du Québec". What are the pros and cons?
  7. NJL


    Apr 12, 2002
    San Antonio
    my biggest thing with the union is that it's a great tool for your toolbox. i have many tools and this is just one of them.

    dues are cheap too, for me down in san antonio, its $35.50 a quarter or $11.17 a month. dues are tax deductible.

    ombudsman, you have a PM
  8. Atshen


    Mar 13, 2003
    Grim Cold Québec
    Kewl, thanks!
  9. Blueszilla

    Blueszilla Bassist ordinaire

    Apr 2, 2003
    The Duke City
    I always report some. It gives you credibility with the IRS. I have a business license too (I book bands in a local club) and this is a very useful, for recording your expenses and claiming on your taxes. Problem is the vast majority of the venues we play pay in cash. Not really a problem though I guess. It creates a paper trail if people start asking questions.
  10. Stinsok

    Stinsok Supporting Member

    Dec 16, 2002
    Central Alabama
    If it is cash and no one signs anything, then I do not claim it.
  11. Mickey Shane

    Mickey Shane what goes here?

    Feb 23, 2003
    Denton, Texas
    If you write your gear purchases off as business tools, then you have to claim some income. I've always found playing out to be somewhat of a tax write off. But then, I haven't hit the goldmine yet.
  12. jive1

    jive1 Moderator Staff Member Supporting Member Commercial User

    Jan 16, 2003
    Owner/Retailer: Jive Sound
    Yup I do. I report my income as well as take deductions for expenses.

    If you spend money in the process of making money, you can deduct it.
    Gear, Stage Clothes, Lessons, CDs, Mileage, Phone Calls, Union Dues, Studio Expenses, Promotional items, etc. are all deductible if they are used for your "business".

    Keep in mind that in the US, if you are reporting losses for many years, you increase your chance for an audit. Another option is to claim hobby expenses instead of business expenses. That will allow you to deduct the amount spent on your hobby up to the amount earned from it.
  13. Atshen


    Mar 13, 2003
    Grim Cold Québec
    Thanks guys! Keep it comin'! :hyper:
  14. kserg


    Feb 20, 2004
    London, UK
    How about this... if you declare ur gigs as tax... u can write off ur gear of taxes:] there is a thought to look into:]

    ya guys... keep it coming and hope no one on TB work for IRS :D

  15. Edwcdc

    Edwcdc I call shotgun!

    Jul 21, 2003
    Columbia MD USA
    I'm pretty much in the same boat as Jive1 when it comes to my approach with taxes. I report everything and deduct as much as possible. Years ago when I played full time I go into deep sh** with the IRS for about $10,000 in back taxes.
    I worked part time at UPS for 3 years just to pay it off. I will never F with the IRS again. :scowl:
    The major thing to remember is that most places keep a record of who they paid and for what. Eventually someone is going to be responsible for the taxes. That person if it is not you will send you a 1099. If you run up a large bill it can be very difficult to pay off. Until it is paid in full you will keep paying penalties and interest. That sucks!

    Pay your taxes, it's not worth the hassle.
  16. Howard K

    Howard K

    Feb 14, 2002
    I pay tax on the money I spend on my hobby, which infinitely outstrips the money I make from gigs (like, nothing!). I dont decare the very small amount of cash I make through giving lessons... it's not worth the effort
  17. nonsqtr

    nonsqtr The emperor has no clothes!

    Aug 29, 2003
    Burbank CA USA

    What gigs?

    Do you work for the IRS?
  18. Edwcdc

    Edwcdc I call shotgun!

    Jul 21, 2003
    Columbia MD USA
    I know nothing. :bag: