Ask Experts Questions for FREE Help !
Ask
    cricketmonkey's Avatar
    cricketmonkey Posts: 1, Reputation: 1
    New Member
     
    #1

    Dec 13, 2008, 12:49 PM
    Employer Paid Intern Housing - 1099-MISC or W-2
    I'm hoping you can help... I've searched everywhere and there is no resource that covers this unique situation.

    I am a regular W-2 employee. I offered to rent a room to a summer intern of our company and the company paid me directly $300/monthly rent for the three month internship, totalling $900 in payments (instead of paying the intern a housing stipend and then the intern paying me). I wouldn't exactly call this "income" as this was a below fair market value rental rate.

    Should I expect the $900 company paid rent to show up on my W-2 or even though I'm an employee, but it's not an employment related expense... would this be a 1099-MISC?

    Thank you,
    Thoroughly Confused!
    help me1's Avatar
    help me1 Posts: 2, Reputation: 1
    New Member
     
    #2

    Dec 13, 2008, 10:36 PM

    The answer to this depends on your employer. If they are counting this as a misc payment to or if they are putting this in a different way. The only way to ask your employer how they are doing the paperwork for the money.
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
     
    #3

    Dec 15, 2008, 11:51 AM
    Agreed! Contact the employer and ask THEM how they plan to report the income.

    It should NOT be reported on your W-2, as it is NOT compensation, but rather a payment for rent,

    I would expect that they will produce Form 1099-MISC and (hopefully) show it as a payment of rent (Block #2). If so, you would need to complete Schedule E to report the income and offset it by your expenses. Note that, because it is a room out of your personal home that you CANNOT show a loss for this three-month rental, but you CAN completely offset the income with legitimate rental expenses.

    Those expenses include the pro-rated share of utilities for your home, plus pro-rated depreciation based on three months and the square footage of the rented room versus your house suqare footage.

Not your question? Ask your question View similar questions

 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Got W-2 AND 1099-MISC from ONE employer [ 9 Answers ]

I am a full-time employee, and I don't have a business. For some reason, my boss gave both W-2 (larger part of salary) and 1099-misc(box 7, non-employee compensation, only small amount of salary). What should I do with 1099-misc? Need to file Schedule C? Can I be treated as self-employed? ...

Commission from employer on 1099-misc and a W-2 [ 1 Answers ]

I receive a W-2 for my normal salary work as an insurance agent. I also get commissions on my customers that I bring into the office. I received a 1099-misc with the commission on the nonemployee compension line (#7). IS this where this needs to be. This makes me pay the self employeed tax. ...

Employer Filing of 1099-MISC [ 1 Answers ]

Hello, I'm new to the business of outsourced payroll. We have multiple clients that have 1099-MISC employees. I'm trying to find a list of states that require the employer to file a copy of the 1099-MISC with the state. Trying to find the info on state websites if taking up a tremendous...

Dependent student paid with 1099-MISC [ 4 Answers ]

My daughter is a 20-year-old full-time college student and as such can still be claimed on my taxes as a dependent. On her own taxes she checks the box that she can be and has been filed as a dependent to someone else's taxes. In past years all of her part-time employment has been recorded as...

I received an 1099 misc from an employer [ 5 Answers ]

I Received A 1099 Misc Form From An Employer Where Do I Report This Income ,I Usually Use The 1040 A Form Can I Still Use This Form? I Am A Us Citizen


View more questions Search