| Sounds like your employer is trying to avoid paying his portion of the taxes. (i.e. the matching FICA and unemployment, maybe workers' comp, that sort of thing.)
If you want to report him, go ahead. I went through this issue with someone I know a couple of years ago. Making it worse, he reported it on a 1099 and made it self-employment income, so that she would be stuck with the extra FICA herself. If you are aware of what is happening and you don't care, then I wouldn't be particular concerned. But if you care about this, report it. If the IRS is interested enough, they'll get their own proof. |