4 Things That You Can Get Taxed For Without Your Knowledge

There are a number of ways by which you can get taxed be it your wages, investments or even the money that you come across by luck.

And there’s more.

That said, here are 4 things that you can get taxed without your knowledge:

#1: Buried Treasure

If you’ve found buried treasure, you’ll have to pay taxes at its fair market value for the year. In other words, if you’re in California, not only will you have to pay federal taxes of 39.6% but also state tax of 13.3%.

#2: Stolen Property

Income from illegal activity has to be reported namely stolen property by robbing a bank or even carrying out an art heist, bribes and from selling drugs and so on and so forth. Of course, very few criminals report their income but if you’re caught by the feds, they could add tax evasion to that list as well.

#3: Scholarships

Scholarship for books, fees and tuition aren’t taxable but the part that covers travel as well as room and board is. Now, if you receive financial assistance while working as a teaching or research assistant, even that part is taxable and despite using it as money to paid towards your tuition.

#4: Gambling Winnings

Winning from lotteries, casinos and horse racing are definitely taxable. In this case, you will have to report it on line 21 (other income) on your 1040. If you win more than a certain amout, the payer will have to give you a Form-2G and which they will report to the IRS as well.