Legal Question in Tax Law in Massachusetts

stopped check

The family I babysat for wrote a check for my pay then stopped payment on it because I quit the job. I sent a certified letter demanding repayment and now she is threatening to report me as she paid under the table. No W-2 was issued and she never paid the anny taxes. What should I do? I don't even know how to pay the taxes as I never kept track.


Asked on 6/30/09, 3:56 pm

2 Answers from Attorneys

Lawrence Graves Coolidge & Graves PLLC

Re: stopped check

This situation is ugly, and of course it gets much dicier if you consider things like reputation in the community. However, as a simple legal matter, your best approach is to sue in small claims court for payment for the hours that you worked. The threat to report you to the IRS is actually a tort (civil extortion) that is itself also actionable.

Do not let the issue of possible IRS involvement worry you -- as between you (presumably, a young person) and the parents, the IRS is far likelier to make their lives miserable for failure to pay the "nanny tax" than to chase you over un-reported babysitting income. This is a very foolish threat to have made, and most unlikely to be performed.

Best wishes,

LDWG

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Answered on 6/30/09, 4:11 pm
JOHN TATOIAN LAW OFFICE OF JOHN A. TATOIAN ESQ.*Licensed Only in Massachusetts

Re: stopped check

You have the option of bringing an action against the family for breach of contract.;))

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Answered on 7/14/09, 1:40 pm


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