"Answering a Reader Question #1,039
Anonymous Wrote: My child received a W-2 for a modeling job he did and the total wages he is being taxed for is prior to the agency directly taking their cut out. My question is whether he should be taxed for the full amount before they took their cut or the amount after they took their cut. He was only paid the amount after his taxes were already removed and after the agency then removed their cut. Howdy, Anonymous! As my post that you commented on states, I'm not a CPA and not giving legal advice as such, but after speaking with a talent agent who does have experience dealing with W2s and underage talent, this is the information I can share with you for informational purposes: The info on the W2 you received is correct. They will always tax the full/gross amount before anyone takes their cut. This is because the funds for the original amount paid out contains the agency's cut. And since the funds are being distributed by the client and not the agency, the full amount is what