#1645259 - 03/31/05 04:36 PM
Do corporate gig people require fed ID?
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LiveMusic
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Registered: 02/23/01
Posts: 4727
Loc: Louisiana
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Something like a casino, they do things very 'officially.' Would they cut the check to one of the individuals in the band and use his SSN and that's all the info they require or would they require the band have its own i.d. number?
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#1645260 - 03/31/05 05:21 PM
Re: Do corporate gig people require fed ID?
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Lee Flier
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Registered: 09/13/00
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Loc: Atlanta,GA,UNITED STATES
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They are usually fine with cutting a check to an individual, but keep in mind that if they do this, that individual is responsible for all the taxes on that check. So don't pay your bandmates equal shares and then get stuck with the tax bill!
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#1645261 - 03/31/05 05:54 PM
Re: Do corporate gig people require fed ID?
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GZsound
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Registered: 01/17/01
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Loc: Somewhere in Oregon
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Actually, you get a check to you personally, they file a 1099 and you have to claim the entire amount as income on your taxes LESS any expenses, like payments to your band mates.
What you need to do is pay your band by check or get a signed reciept from each member and then itemize those expenses on your tax return. You are only responsible for the amount you actually recieved and if you can prove you "expensed" a portion to your band mates you will not be liable for taxes on that amount.
The only time it will be an issue is if you are audited. If that happens, you will need to alert your band mates that they also might be looked into for making undeclared income, if they failed to report their shares.
But there is no reason to not pay each member whatever share they normally get since you will only be responsible for your actual share.
*The above information is informational only and should not be construed as professional tax advice. Please see a tax professional for your individual needs.
(I get to say that every time I do a mortgage for somebody..I love it).
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Mark G.
"A man may fail many times, but he isn't a failure until he begins to blame others" -- John Burroughs
"I consider ethics, as well as religion, as supplements to law in the government of man." -- Thomas Jefferson
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#1645262 - 03/31/05 08:01 PM
Re: Do corporate gig people require fed ID?
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Dennyf
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Registered: 11/17/03
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Loc: Virginia Beach, VA
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In our case, one guy gets 1099ed for the whole annual amount we received from each venue, then he in turn 1099s each of us for our shares, thus relieving himself of (and encumbering us with) the tax burden for the whole amount.
Yet one more reason for having one person be the "pay" person.
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#1645263 - 04/01/05 02:38 AM
Re: Do corporate gig people require fed ID?
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GZsound
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Registered: 01/17/01
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Loc: Somewhere in Oregon
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That is a perfect way to do it and it would force each member to declare and pay taxes on their band income.
Does that also include cash payments for performances? There are many occasions when we get paid cash and I scribble something totally unreadable on a reciept..Of course I declare the money I earn even when it's cash...
_________________________
Mark G.
"A man may fail many times, but he isn't a failure until he begins to blame others" -- John Burroughs
"I consider ethics, as well as religion, as supplements to law in the government of man." -- Thomas Jefferson
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#1645264 - 04/01/05 12:36 PM
Re: Do corporate gig people require fed ID?
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Geekgurl
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Registered: 08/17/03
Posts: 1234
Loc: near San Francisco
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Also, you can 1099 your bandmates. In fact, if you pay them over (or anyone for any service) $600 in any given year, I believe you are technically *required* to file a 1099 on them.
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#1645265 - 04/06/05 08:30 AM
Re: Do corporate gig people require fed ID?
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EscapeRocks
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Registered: 08/12/03
Posts: 341
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That's how we do it. I'm the "financial" guy in the band. I 1099 the others, and then they can deal with their taxes.
That bein said, we only play a couple places that we ned to do this. The Dallas Mavericks "officially" pay us through their expense dept., so we get 1099'd by them.
The couple citys out here that we do summer shows for do the same thing.
Other than that, 95% of our venues do it the old fashioned way: an envelope with cash.
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