Is a $250 check that I received at Christmas from my employer taxable?

[kris-c-mcewen]

This money was not included in my bi-weekly bank deposit but rather on a hand-written company (dental practice) check.   I am therefore very confident that it was ***NOT****included my W2.  Nor have I received Form 1099-MISC.  I do not expect to receive a 1099.  TurboTax seems to direct me to report this on Form 8919 which is used to calculate uncollected social security and Medicare tax.  It also directs me to file Form SS-8 to determine employment status.  Ii am clearly an employee.  I believe the dentists intended this to be a gift.   I submitted this question again because I inadvertently excluded the word"***NOT***"above.

[JaimeG · Accepted solution]

This money should have been included in your W2 in order to be subject to FICA (Social Security and Medicare). This is why TurboTax is requesting this information from you. Before you file your Taxes it is advisable that you explore the two options below:

1. You can request a W-2C from your employer and request that the $250.00 be included as your income and have the FICA and Federal withholding pulled out. Keep in mind that you will have to return the $250 in order for this to happen and you cannot file your return until you receive the W-2C.
2. You can claim this income as Self-Employed Income. Even though you have not received a 1099-MISC for this income you can still create a Business Profile and claim this as Additional Income. This section is placed for people who receive income from single, or multiple sources, but not enough for it to be claimed on a 1099-MISC. This will create a Schedule C for this Income and subsequently Schedule SE which will determine Self-Employment Tax. The Self-Employment Tax contains FICA.

TurboTax will ask you to upgrade to self-employed when you begin to enter this information. If you do not have an expenses that are linked to this income, you do not have to upgrade to Self-Employed. Deluxe will create and file Schedule C with Income only.