AI Assistant
Notifications
Clear all

IRS Sch M - Making Work Pay

2 Posts
1 Users
0 Reactions
248 Views
Perry Williams
(@perry-williams)
Posts: 2183
Member
Topic starter
Translate
English
Spanish
French
German
Italian
Portuguese
Russian
Chinese
Japanese
Korean
Arabic
Hindi
Dutch
Polish
Turkish
Vietnamese
Thai
Swedish
Danish
Finnish
Norwegian
Czech
Hungarian
Romanian
Greek
Hebrew
Indonesian
Malay
Ukrainian
Bulgarian
Croatian
Slovak
Slovenian
Serbian
Lithuanian
Latvian
Estonian
 

This Schedule M thing was new lest year and I missed it. Then the IRS sent us a check for $800 🙂 and told us we were supposed to have filled out a sch. M.

Now I'm filling out THIS years' taxes and SCH M, Line 1A says:


Do you (and your spouse if filing jointly) have 2010 wages of more than $6,451 ($12,903 if married filing jointly)?

My question is:

What are wages?

My wife gets a W-2 so that is definitely Wages, but I am self-employed and fill out a Sch C and a Sch F (farm - maple syrup). Is my income from self-employment considered WAGES?


 
Posted : April 10, 2011 6:56 pm
Perry Williams
(@perry-williams)
Posts: 2183
Member
Topic starter
Translate
English
Spanish
French
German
Italian
Portuguese
Russian
Chinese
Japanese
Korean
Arabic
Hindi
Dutch
Polish
Turkish
Vietnamese
Thai
Swedish
Danish
Finnish
Norwegian
Czech
Hungarian
Romanian
Greek
Hebrew
Indonesian
Malay
Ukrainian
Bulgarian
Croatian
Slovak
Slovenian
Serbian
Lithuanian
Latvian
Estonian
 

ANswered my own question

(from IRS website:)

Most eligible taxpayers qualify for the maximum making work pay credit of $800 for a married couple filing a joint return or $400 for other taxpayers. The credit equals 6.2 percent of earned income up to the maximum amount. Thus, any eligible couple whose earned income is $12,903 or more qualifies for the $800 maximum credit. Other taxpayers qualify for the $400 maximum if their earned income is $6,451 or more.

For most workers, the credit is based on the taxable wages reported to them on Forms W-2. Self-employed individuals figure the credit using the net profit or loss they receive from a business or farm.


 
Posted : April 10, 2011 7:06 pm