Quote:
Originally Posted by Raymond
Also has tax implications. We (officials) forfeit a 10% assigning fee/game in my HS association--8% to commissioner, 1% to secretary, 1% to either treasure or legal fund, I forget which. However, when we get our 1099, the entire game fees are included as our income. IMO, we should only be showing 90% of our game fees as income, and the assigning fee should show up as income for the respective EB members who are actually receiving that money.
I, of course, itemize the assigning fees in my expenses, but not everyone pays attention to such details when filing taxes.
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Tax law says otherwise. The IRS wants to know the gross income and then wants to see your expenses as a reduction from that total. The association fees taken out of the game fees is an expense, not a reduction of gross income.
It comes out the same in the end, but the IRS wants the details.