Taxable Income

  • All income received from State lottery programs reported on IRS form W-2G or any other form required by the IRS that reports lottery winnings.
  • Almost all lawsuit settlements on form 1040
  • Alternative Trade Adjustment Assistance (ATAA )(form of unemployment) and Reemployment Trade Adjustment Assistance (RTAA)
  • Bonuses, stipends, and tip income
  • Cash for Keys
  • Commissions, fees and other earned income
  • Compensation paid in goods or services or property usage (taxed at fair market value)
  • Contributions made on behalf of employees to tax-deferred annuity programs
  • Director fees
  • Discrimination Lawsuit Settlements (on 1040)
  • Employee contributions to the cost of fringe benefits
  • Employee contributions to retirement plans and tax-deferred annuity plans (including Section 401k, 403b, 457b, etc.)
  • Employer-paid premiums for group term life insurance (taxed to the same extent as for federal taxation)
  • Employer-provided educational assistance, and/or reimbursement (taxable to the same extent as for federal taxation)
  • Employer supplemental unemployment benefits (SUB pay)
  • Excess employee discounts
  • Executor fees
  • Farm net income and Farm Rental Income from form 4835
  • Gambling winnings
  • Health Savings Account (HSA) and Medical Savings Account (MSA) taxable on Federal 1040
  • Income from guaranteed annual wage contracts
  • Income from jury duty
  • Income from partnerships, estates or trusts
  • Income from wage continuation plans (including retirement incentive plans, severance pay and golden parachute payments)
  • Income received as a result of a covenant not to compete
  • Net profits of businesses, professions, sole proprietorships, etc.
  • Net rental income
  • Ordinary gains as reported on Federal Form 4797
  • Prizes and gifts if connected with employment
  • Reimbursements in excess of deductible expenses
  • Royalties, if not derived from intangible property
  • Scholarship Income listed on 1040 (usually reported on line 7 as wage income)
  • Sick pay (excluding third party sick pay)
  • Stock options (taxed when exercised, valued at market price less option price on the date the option is exercised)
  • Strike pay
  • Union steward fees
  • Vacation pay
  • Wages, salaries and other compensation