Sign on Bonuses - Taxes
Tried finding an answer, but ended up empty.
I was given a sign-on bonus of 30K earlier in 2014, with the clause that if I left within a year, I have to pay it back. Of course, i received post-taxed 30K, lets say 20K.
I decided to leave the company in 5 months, and of course HR came back for the bonus. Luckily they only asked for the net amount they paid me. I hadnt touched the money, and returned it to them. All good.
Now the W-2 has come from them, and they have made the 30K a part of my income. Should they not take it out, cause i paid it back to them.
I wouldnt be too worried about it since the taxes were paid by them, but if I add this 30K to my income, I push into the next tax bracket, forcing me to pay more taxes on everything.
Seems like a lose lose situation.
Thoughts? Advice? Anything I can do while filing my taxes to show that I paid this money back to the company????