(04-18-2022 08:16 AM)MWC Tex Wrote:  https://www.foxbusiness.com/sports/colle...a-attorney

So NIL athletes are in for a rude surprise for the amount of taxes they are owing the IRS. I was not aware that the athletes received 1099’s and had to fill out W9 forms.
As a former 1099 (self employed) person I understood you having to pay the full amount of the 15.3% tax (12.4 for social security and 2.9 for Medicare) and is for anything amount you make usually over $600.
On top of that you have federal income of over the standard deduction.

I guess most of the athletes who had W4 jobs didn’t know the employer pays half of those taxes and the other half from the paychecks. Because of that you only need to file for income tax.

I'm pretty sure that:
1.) They already know this and,

2. They will happily pay this

Fans are getting angry so they're acting as if these guys have never had a job before or don't have family members who have had a job before. I also have no doubt that the schools are helping them. This isn't a "Gotcha" moment, this is just a sour grapes moment. They'll make enough money to cover the other half of any potential income.

(04-18-2022 01:41 PM)CatsClaw1 Wrote:  

(04-18-2022 08:16 AM)MWC Tex Wrote:  https://www.foxbusiness.com/sports/colle...a-attorney

So NIL athletes are in for a rude surprise for the amount of taxes they are owing the IRS. I was not aware that the athletes received 1099’s and had to fill out W9 forms.
As a former 1099 (self employed) person I understood you having to pay the full amount of the 15.3% tax (12.4 for social security and 2.9 for Medicare) and is for anything amount you make usually over $600.
On top of that you have federal income of over the standard deduction.

I guess most of the athletes who had W4 jobs didn’t know the employer pays half of those taxes and the other half from the paychecks. Because of that you only need to file for income tax.

I'm pretty sure that:
1.) They already know this and,

2. They will happily pay this

Fans are getting angry so they're acting as if these guys have never had a job before or don't have family members who have had a job before. I also have no doubt that the schools are helping them. This isn't a "Gotcha" moment, this is just a sour grapes moment. They'll make enough money to cover the other half of any potential income.

It doesn’t appear many athletes are aware of that.
The schools are going to give tax advice and be liable.

Here another article.
https://www.yahoo.com/entertainment/nil-...41560.html
“It’s not just cash that counts as income, either, but also any goods or services received, like a free lease on a $90,000 BMW.“

The above is something I did not even consider.

(04-18-2022 08:17 AM)quo vadis Wrote:  

(04-18-2022 08:16 AM)MWC Tex Wrote:  https://www.foxbusiness.com/sports/colle...a-attorney

So NIL athletes are in for a rude surprise for the amount of taxes they are owing the IRS. I was not aware that the athletes received 1099’s and had to fill out W9 forms.
As a former 1099 (self employed) person I understood you having to pay the full amount of the 15.3% tax (12.4 for social security and 2.9 for Medicare) and is for anything amount you make usually over $600.
On top of that you have federal income of over the standard deduction.

I guess most of the athletes who had W4 jobs didn’t know the employer pays half of those taxes and the other half from the paychecks. Because of that you only need to file for income tax.

It shouldn't be a surprise, I certainly wouldn't expect to receive income from any source and not be taxed on it.

But I bet some athletes will be in for a rude awakening.

Things were much easier when the money was simply passed under the table.