Are reimbursements for callbacks taxable?

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Anonymous User
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Are reimbursements for callbacks taxable?

Postby Anonymous User » Tue Sep 24, 2013 4:44 pm

For those taking Federal Income Tax, do callback reimbursements count towards gross income?

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3|ink
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Re: Are reimbursements for callbacks taxable?

Postby 3|ink » Tue Sep 24, 2013 4:47 pm

I don't know if there's an exact code provision on this, but I was say almost certainly not. You're not being compensated for your time. You're being reimbursed for an expense that was ultimately the firm's to bear.

However, since you were reimbursed, you are not entitled to deduct those expenses from your gross income.

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JamMasterJ
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Re: Are reimbursements for callbacks taxable?

Postby JamMasterJ » Tue Sep 24, 2013 4:52 pm

Anonymous User wrote:For those taking Federal Income Tax, do callback reimbursements count towards gross income?

no. we talked about this in class,

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salix
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Re: Are reimbursements for callbacks taxable?

Postby salix » Tue Sep 24, 2013 7:36 pm

No, reimbursements are not income.

But, be aware: if you had not been reimbursed, you still would not have been allowed to take those expenses as deductions.

A snippet from my class notes:

•Expenses incurred in obtaining another job in the same line of work are deductible
• But if reimbursed, you would not be able to deduct

•Rev. Rul. 75-120: Employee seeking employment in same position elsewhere may deduct expenses incurred for job search.
• Thus does not apply to first jobs, new trades or businesses; or lengthy unemployment
• Expenses incurred in obtaining another job in a new line of work are not deductible
• If this line of work is NEW TO YOU, it's not a §162 expense.
• I can't deduct the expenses associated with becoming a lawyer, since I'm not a lawyer yet.

Anonymous User
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Re: Are reimbursements for callbacks taxable?

Postby Anonymous User » Mon Sep 30, 2013 5:24 pm

salix wrote:No, reimbursements are not income.

But, be aware: if you had not been reimbursed, you still would not have been allowed to take those expenses as deductions.

A snippet from my class notes:

•Expenses incurred in obtaining another job in the same line of work are deductible
• But if reimbursed, you would not be able to deduct

•Rev. Rul. 75-120: Employee seeking employment in same position elsewhere may deduct expenses incurred for job search.
• Thus does not apply to first jobs, new trades or businesses; or lengthy unemployment
• Expenses incurred in obtaining another job in a new line of work are not deductible
• If this line of work is NEW TO YOU, it's not a §162 expense.
• I can't deduct the expenses associated with becoming a lawyer, since I'm not a lawyer yet.


I am in a similar situation as well. I am pretty sure that it is not includable in gross income. But the law firm asked me to fill in a W-9 form. I am not sure what tax documents I should expect from them...

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JamMasterJ
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Re: Are reimbursements for callbacks taxable?

Postby JamMasterJ » Wed Oct 02, 2013 2:59 pm

if you worked a legal job as a 1L summer, isn't 2L search technically "new job same field"




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