Does anyone know if a citizen of the U.S. in Texas would have to pay taxes on anything earned from that day? Cause they are considered quot;tipsquot;, so would I have to include any profits I make, and where would I include that. I am working part time at a normal job and I am 18.
Officially, the answer is yes, the person would be required to pay tax on it. Unofficially, the answer is effectively no, because I never much doubt that the person would report it, regardless of what the law says.
this is self employment and reportable on Sch C and subject to self employment tax
Yes, it's 100% taxable as self-employment income. Report it on 1040 schedule C-EZ. Your age, your being a student and these being tips do not change anything.
