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soberjack17
Level 2

W2 from work done in a prior year

Hello all,

 

Sometime last year (2020) I received a letter in the mail about a job that I did in 2015 delivering phone books.  The letter stated something to the effect of, the company was caught underpaying its independent contractors.  So I naturally said, hey free money sure I'll take it.  So I did what the letter told me to do, and a month or two later I received a check for $58.  I was pleasantly surprised when it showed up.

 

Two days ago I received a W2 from that company stating I made $58 in 2020.  So the ultimate questions is: Do I have to claim this on my taxes?  I ask because the work was done in 2015 so do I have to report it in 2020?  Also, I thought that if you made less than $xxx.xx (might be $600), there was no requirement to send a W2.  Little confused on what to do with it, I believe it shouldn't have to be reported but also don't want to throw a red flag for IRS to audit me.  

 

Thanks for any advice in advance.

 

Jack

2 Best answer

Accepted Solutions
MaryK1101
Expert Alumni

W2 from work done in a prior year

Yes, you will want to include the W2 on the 2020 even though you di the work in 2015.  Income is reported in the tax year it is received. The $600 limit is for the 1099-MISC, not the W2.

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AmyC
Expert Alumni

W2 from work done in a prior year

You have the letter as proof that the income was not related to COVID. While $58 seems pretty negligible in the scope of things, you are right to wonder. The unemployment should be based on your last job. If the $58 comes up, I would argue the point that it was from 2015 and not related to your 2020 job that was lost.

 

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3 Replies
MaryK1101
Expert Alumni

W2 from work done in a prior year

Yes, you will want to include the W2 on the 2020 even though you di the work in 2015.  Income is reported in the tax year it is received. The $600 limit is for the 1099-MISC, not the W2.

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soberjack17
Level 2

W2 from work done in a prior year

So then my next question would be: will this affect my eligibility for PUA assistance?  Might be called something else this year but I received unemployment for self emplyoment, and there are going to grant like 13 more weeks for this year. Thanks for your help.

 

Jack

AmyC
Expert Alumni

W2 from work done in a prior year

You have the letter as proof that the income was not related to COVID. While $58 seems pretty negligible in the scope of things, you are right to wonder. The unemployment should be based on your last job. If the $58 comes up, I would argue the point that it was from 2015 and not related to your 2020 job that was lost.

 

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

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