What counts as Income?

Discussion in 'Growing and Managing a Business' started by KKAPADIA, Sep 27, 2014.

  1. KKAPADIA

    KKAPADIA
    uix_expand uix_collapse
    New Member

    Joined:
    Sep 7, 2014
    Messages:
    4
    Likes Received:
    0
    If a friend writes you a check for say something as trivial as helping him/her move...does it count as income? Does it depend on the amount? I'm assuming "money" can be transferred as a gift in some cases...what are the rules and restrictions surrounding this topic?

    Thank you,
    Keval!
     
  2. Jybrael

    Jybrael
    uix_expand uix_collapse
    Member

    Joined:
    Sep 15, 2014
    Messages:
    69
    Likes Received:
    4
    Depends on your friend and how he listed it. If he listed it as payment for helping him/her move then it will count as income but if it was listed as a gift then no. That is how I believe it works someone might be able to say otherwise though so don't take my full word for it.
     
  3. Mark T

    Mark T
    uix_expand uix_collapse
    Active Member

    Joined:
    Dec 28, 2011
    Messages:
    1,201
    Likes Received:
    230
    As far as I know, any money you have acquired via a certain type of service that was rendered is considered an income. Say, you helped your friend do a home improvement and he paid you for the service. Then that money can be considered as an income.

    Hope that clarifies it.

    Regards,
    Mark
     
  4. bronzetheking

    bronzetheking
    uix_expand uix_collapse
    New Member

    Joined:
    Feb 1, 2015
    Messages:
    13
    Likes Received:
    1
    Depends on your agreement. if he says he'll pay you for helping (service) then it is considered a payment. if not then it's a gift. either way you'll pay tax on both.
     

Share This Page