Financial adviser cautions those with side jobs to report income during tax season
MACON, Ga. -- Though working an extra side job can be a great way to make a little extra money or foster a passion, experts say it can also be a good way to get in trouble with the IRS.
Colleen Giffin, a financial adviser with Beall Financial in Macon, said that unlike with a regular employer, some who work side jobs may receive a raw check or cash for their work without being subject to withholding.
If that additional income is not reported in order for taxes to be extracted from it, Giffin said you can be hit with penalties in addition to interest money owed to the government.
Some employers like ride sharing companies and sites such as Etsy will provide a statement with how much money you made through the service throughout the year in order to make it easier to report. But Giffin said those who do not receive this documentation from their employer should still report their income to the IRS.
Additionally, Giffin said that if you work for a ride sharing company you can calculate your mileage and claim that in order to help reduce your bill.