Taxes On Your Bonus
Include these in your income:
- Bonuses and awards from your employer reported on your W-2
- Vacation trips you receive for going beyond sales goals
Usually, your employer will withhold taxes from bonuses you receive at the flat rate of 25%. However, if you earned more than $1 million a year, the withholding rate will be 39.6% on the amount over $1 million.
What is the alternative minimum tax, and are you eligible for an exemption? Learn more about AMT rates and get tax answers at H&R Block.
How do business losses affect your taxes? See if you are eligible for a special allowance and get tax answers at H&R Block.
What is the process for reporting winnings from online gambling? Learn more from the tax experts at H&R Block
Learn more about reporting child care income with help from the tax experts at H&R Block.