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Tax stuff...am I screwed?

As a practical matter probably yes. But in theory, the bandmates are just as responsible for reporting what they made, regardless of who signed the checks, etc.



Where is the icon for 'eye-roll'?

I know they are responsible but do you think they are going to or have reported their income? Call her why not she is stone ugly & she needs the money to get a face lift yuk!!!!:hyper:
 
I know they are responsible but do you think they are going to or have reported their income?

That's why I specified as a 'practical matter' vs. what should have taken place.

Call her why not she is stone ugly & she needs the money to get a face lift yuk!!!!

Well for one thing she deals mainly in 'collection matters' and this case hasn't progressed to that stage. Further I doubt the dollars involved would interest her.
 
Actually, when you play a hundred nights a year at the Hyatt, you are much closer to being a Hyatt employee, especially when the Hyatt is writing you the checks. Now if you play at the Hilton all the time but the money is coming from non related third parties, then, yes, you are in no way an employee of the Hilton.
 
Actually, when you play a hundred nights a year at the Hyatt, you are much closer to being a Hyatt employee, especially when the Hyatt is writing you the checks. Now if you play at the Hilton all the time but the money is coming from non related third parties, then, yes, you are in no way an employee of the Hilton.

It would be tough to determine IC vs employee based just on that. They might still be correct in classifying you as IC but I agree the line would start to get fuzzy, especially if the Hilton laid down a bunch of rules, etc. For example, my son is finishing up a 6 week gig on a cruise ship. The ship determines where, what and how they will play, how they will look and where they eat and sleep. They are employees.
 
Do what Øbama's boy (our Treasury Secretary), Timmy "Elf" Geithner did -- just sat 'Oops!' and negotiate the amount down.

;)

geithner.jpg
 
Look, all I am saying, is if this was for short money, then I would take a run at them for the taxes. If they knew they were getting a cash price and then come and do this, very sad.

But anyway, like I said in my first post. The OP probably signed something, so it's all pretty moot!
:confused:
 
Look, all I am saying, is if this was for short money, then I would take a run at them for the taxes. If they knew they were getting a cash price and then come and do this, very sad.

But anyway, like I said in my first post. The OP probably signed something, so it's all pretty moot!
:confused:

I understand what you're saying but again in the eyes of the IRS it really doesn't matter whether you're paid in cash or not or whether you 'signed something'.
 
It actually does matter.

I just deleted a long post. Nothing is ever open and shut. Even with the IRS.

And if a guy has a history of this, then he could end up paying triple damages.

Don't let these venues push you around. I see so many of these guys screw over players and nobody ever pushes back.

Talk to a tax lawyer. There's big money in cases like this if there is a pattern and history.
 
I'm sorry for you. I've been there and done that, and it sucks. It's also why I don't play games when it comes to the legal details of the income tax side of things anymore. Fortunately in my situation, the band agreed to share the burden equally since everyone got paid equally for the gigs we got popped on. It made the pain much easier to bare at a couple hundred bucks and change per person, instead of getting stuck for the whole thing. An accountant we knew, couldn't find any remedy for the situation, so we paid up. I'll also warn you that the state you live in, will be coming after you after you get done with the IRS, as they'll want their chump change too; presuming you live in a state that has a state income tax. I wish you the best, it ain't no fun.
 
I'm sorry for you. I've been there and done that, and it sucks. It's also why I don't play games when it comes to the legal details of the income tax side of things anymore. Fortunately in my situation, the band agreed to share the burden equally since everyone got paid equally for the gigs we got popped on. It made the pain much easier to bare at a couple hundred bucks and change per person, instead of getting stuck for the whole thing. An accountant we knew, couldn't find any remedy for the situation, so we paid up. I'll also warn you that the state you live in, will be coming after you after you get done with the IRS, as they'll want their chump change too; presuming you live in a state that has a state income tax. I wish you the best, it ain't no fun.

^
A band that stuck together through the problem, or exercised their conscience. I like that!
 
I report ALL income and claim ALL outgo relating to music. (Among the great things about eBay and PayPal is you can track it down to the penny.) If the IRS is going to pinch me on every gig, it only makes sense that I can claim every expense. I hate to sound too moralistic, but honesty is the best policy. AND a talented accountant is worth his/her weight in gold.
 
Actually, when you play a hundred nights a year at the Hyatt, you are much closer to being a Hyatt employee, especially when the Hyatt is writing you the checks. Now if you play at the Hilton all the time but the money is coming from non related third parties, then, yes, you are in no way an employee of the Hilton.

It doesn't matter if you play one night or 365, or who writes the checks. It boils down to; who has authority over the worker? Himself, or the employer? Say a guy works at the Hyatt for 12 months straight replacing toilets. If he works at his own discretion and provides his own tools, he's an independent contractor. If the Hyatt tells him what to do and when, and how it's to be done, and can pull him off to replace light bulbs instead, and they provide his tools, he's an employee.

A band that gets a contract to play at the Hyatt every night, that has authority over what they do when there, that provides and sets up their own gear, and whose members can't be redirected to do something else (like wait tables), is an independent contractor.

Other factors go into it, and it's not always clear-cut, but it has nothing to do with how frequently you're there.

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If you don't provide your SSN they are required by law to withhold 20% for income taxes.

That's fine with me. That's what I assumed they were doing. Since I never signed a W2 or W9 or I9.

If you assumed they were withholding 20% and you didn't get a W2, you should have called them to ask for one, otherwise you have no proof for the IRS that taxes were paid.

You could have immediately straightened the whole thing out instead of waiting until the IRS caught up with you.

You know the old saying...when you assume you make and a... out of you and me.....I think it applies here.