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trynatax2019
New Member

If I got a new job in October 2020 but did not get paid until 2021, do I need to include that in my taxes?

 
4 Replies
SweetieJean
Level 15

If I got a new job in October 2020 but did not get paid until 2021, do I need to include that in my taxes?

No, but why didn't they pay you until then?  Most states requires payroll to be made within shorter time periods.

MinhT1
Expert Alumni

If I got a new job in October 2020 but did not get paid until 2021, do I need to include that in my taxes?

As you are on a cash basis, income received in 2021 is only reportable on your 2021 tax return (next year) even if the payment was for work done in 2020.

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trynatax2019
New Member

If I got a new job in October 2020 but did not get paid until 2021, do I need to include that in my taxes?

The project ended late December. Took a while for my payment to go through the system and there were some hiccups I had to sort out with HR to get my payment.

ErnieS0
Expert Alumni

If I got a new job in October 2020 but did not get paid until 2021, do I need to include that in my taxes?

The IRS taxes you in the year income is received, so as Tax Expert @MinhT1 the money should be taxed in 2021. Double-check with HR to make sure they are not going to issue a 2020 W-2 or 1099-NEC. 

 

They should not, but you said there were some hiccups so it's worth checking.

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