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View Full Version : One Time Payment on Bonuses


maxgrfx
Sep 29, 2007, 09:41 AM
I received a bonus from my company and when filling taxes on it, I was told if it's a "one time payment" the tax rate is lower. If this is correct - how do I find that rate for a 1040 return?

Thanks

delite
Sep 30, 2007, 08:13 AM
I received a bonus from my company and when filling taxes on it, I was told if it's a "one time payment" the tax rate is lower. If this is correct - how do I find that rate for a 1040 return?

Thanks
One time payment would not be taxed at a lower rate. Income is taxed at prescribed rates whether it is one time or multiple paymnets.

AtlantaTaxExpert
Oct 1, 2007, 02:04 PM
Agreed.

She MAY be referring to the withholding rate, which is a flat 30% for lump sum payments like bonuses.