José Posted May 29, 2012 Report Share Posted May 29, 2012 I just got my paycheck for a shoot I did two weeks back, but for first time for me, my kit rental got lumped together with my day rate. And the payroll company (CAPS, LLC Payroll service) taxed my kit rental in the process. Usually, when I work on a production that receives W-4s, my kit fee is paid nontaxed separately while my dayrate gets the usual taxes deducted. So is this incorrect, or is the payroll company allowed to do that? Quote Link to comment Share on other sites More sharing options...
Eric Toline Posted May 29, 2012 Report Share Posted May 29, 2012 I just got my paycheck for a shoot I did two weeks back, but for the first time I ever seen, my kit rental got lumped together with my day rate. And the payroll company (CAPS, LLC Payroll service) taxed my kit rental in the process. Usually, when I work on a production that receives W-4s, my kit fee is paid nontaxed separately while my dayrate gets the usual taxes deducted. So is this incorrect, or is the payroll company allowed to do that? Did you invoice for your kit seperately? If not your kit & labor get lumped together. Contact CAPS and see if you can get it squared away. Eric Quote Link to comment Share on other sites More sharing options...
Marc Hoppe Posted May 29, 2012 Report Share Posted May 29, 2012 I've been on a show now for a few months where we just sorted this stuff out. For some reason, our box rentals were taxed for the first 4 weeks, regardless of what we said or where we inputted figures. Now, the dollar amount seems right, but it still mentions that the box rental is subject to FIT. Either way, I've lost out on a lot of $$$ due to someone's oversight, and it's been a real beast trying to correct it. Marc Quote Link to comment Share on other sites More sharing options...
José Posted May 29, 2012 Author Report Share Posted May 29, 2012 Hey Marc! I just got off the phone with the payroll service. And according to one of their accountants, my mistake was that I did not estimate price value toward the gear. And that is why it was considered taxable. In any case, my check can't be reversed, but the correction can be made for future checks. Talk to the payroll service instead of production and see if it can get fixed that way. Quote Link to comment Share on other sites More sharing options...
RPSharman Posted May 29, 2012 Report Share Posted May 29, 2012 Rental income is taxable, so one way or another it's going to be taxed. But some payroll taxes are not applicable to rental income, like Medicare and such. Quote Link to comment Share on other sites More sharing options...
José Posted May 30, 2012 Author Report Share Posted May 30, 2012 Yeah, my kit was hit for Medicare as well as FICA tax on this check. Quote Link to comment Share on other sites More sharing options...
stacysound Posted May 30, 2012 Report Share Posted May 30, 2012 IF they payed half of SS (thinking it labor) let it ride. Quote Link to comment Share on other sites More sharing options...
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