Paying taxes on relocation bonus? I took a job in a new state and the new employer paid my relocation expenses.
Unfortunately, the company put the total amount (about 5K) as "tips" in Box 12a of the W2.
As a result, I now owe over 2K in taxes!
Is there anything (legal) I can do to minimize this tax?
(Why would the employer do that? It's technically not income.)
Last edited by ikaruga : 03-08-2015 at 10:00 PM.
Reason: clarified legality
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