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Topic   Do you report plasma donation on taxes?

Helghast
Double Gold Good Trader
* 29-Jan-2013(#1)
Anyone know? I'd prefer someone who has actually done it and not just someone's opinion.

I called and asked the place that I donate and they said they don't report the money they give out, to the IRS.
Longknife
Bronze Good Trader Gold Global Trader (15) Has Written 2 Reviews
(frozen)
* 29-Jan-2013(#2)
I was looking through some results of a Google search, and apparently if it's under $600, the place you donated to isn't required to report it to the IRS. However, as for actually reporting it on your taxes, it's more of an honor thing. If you don't feel right leaving it off, then by all means include it as you're doing your taxes.

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Helghast
Double Gold Good Trader
29-Jan-2013(#3)
I don't really care, I just want to know if I should or shouldn't haha.
TheBruce
GameTZ Subscriber Gold Good Trader
Global Trader - willing to trade internationally Has Written 1 Review
29-Jan-2013(#4)
Do you report your sales tax from Amazon?

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Longknife
Bronze Good Trader Gold Global Trader (15) Has Written 2 Reviews
(frozen)
29-Jan-2013(#5)
I'm saying yes, you should but no you don't have to.

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Helghast
Double Gold Good Trader
29-Jan-2013(#6)
RiseAgainst540 wrote:
> Do you report your sales tax from Amazon?
>
>

No I don't, but since plasma donation is waaaay more, I didn't know if I'm supposed to.
gbush65
Double Gold Good Trader Global Trader - willing to trade internationally
29-Jan-2013(#7)
no you don't, i work at a plasma donation center and on our "welcome letter" to new donors it clearly states donors are being compensated for their time, not for their plasma since it is technically a donation
Helghast
Double Gold Good Trader
29-Jan-2013(#8)
gbush65 wrote:
> no you don't, i work at a plasma donation center and on our "welcome
> letter" to new donors it clearly states donors are being compensated
> for their time, not for their plasma since it is technically a donation

Thank you. I'm surprised the lady on the phone form the center didn't know...
John
So rad! GameTZ Gold Subscriber GameTZ Full Moderator
350 Trade Quintuple Gold Good Trader Gold Global Trader (13)
Secret Santa
* 30-Jan-2013(#9)
gbush65 wrote:
> no you don't, i work at a plasma donation center and on our "welcome
> letter" to new donors it clearly states donors are being compensated
> for their time, not for their plasma since it is technically a donation

I've seen this stated before by plasma places, but I've seen numerous references related to the IRS that state otherwise when it comes to the taxability.

Basically, even if you "compensate someone for their time", it is still income. So, they can consider the plasma itself to be a donation (because you can't legally sell body organs in the USA), but that doesn't change the INCOME status.

So, I think the point of that letter is not about the TAX ramifications. It's about the legal aspects of selling your blood. They are just stating that they aren't buying your plasma -- because THAT has legal issues. Instead, you are DONATING the plasma and they are paying you for your TIME.

So, again, that statement is about the legal issue with donating plasma -- not the TAX issues of being paid for it.

If you are paid over $600 (for your "time"), then they would have to issue you a 1099-MISC by law -- and you'd have to report it on your taxes as income. [One source that mentions this. Another here where it makes it clear that if you do it enough, you even have to consider it self-employment income!

If you are paid under $600, then they don't have to report anything to the government -- and whether or not you report it yourself is your own call.

Note: All that being said, there seems to be some weird exception if you donate to a not-for-profit plasma center. I can't find enough info to confirm it. These seem to be rare though -- most plasma centers are for-profit -- in which case, all of the above certainly applies and they should be sending 1099-MISC to anyone that gets paid over $600 for their time.

- John...

"I love you for never believing in what I say."
- Blood, In This Moment
Concat
Canada
30-Jan-2013(#10)
I'm going to tell on you if you don't.
John
So rad! GameTZ Gold Subscriber GameTZ Full Moderator
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Secret Santa
* 30-Jan-2013(#11)
On a side note, if that exception actually worked, then why would every workers say that they are "donating their mind work" for the day and that they are "only being paid for their TIME"?  * smile *

Again, being paid "for your time" to make a "donation" does not get you out of the income aspects of being paid "for your time."  * smile *

So -- just to make this easier -- did you get paid over $600 from that company in 2012? If you did, then I would expect a 1099-MISC from them. If you don't get one, then they may be that weird non-profit exception that I can't find enough details about.

- John...

"I love you for never believing in what I say."
- Blood, In This Moment
Helghast
Double Gold Good Trader
30-Jan-2013(#12)
John wrote:
> On a side note, if that exception actually worked, then why would
> every workers say that they are "donating their mind work" for the
> day and that they are "only being paid for their TIME"?  * smile *
>
> Again, being paid "for your time" to make a "donation" does not get
> you out of the income aspects of being paid "for your time."  * smile *
>
> So -- just to make this easier -- did you get paid over $600 from
> that company in 2012? If you did, then I would expect a 1099-MISC
> from them. If you don't get one, then they may be that weird non-profit
> exception that I can't find enough details about.
>

I don't think any donor gets any form, regardless of how much they made.
John
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Secret Santa
30-Jan-2013(#13)
Helghast wrote:
> I don't think any donor gets any form, regardless of how much they made.

I think this is odd -- but, as I said, there must be more to it. Everything I can find says that the IRS certainly does consider being paid for plasma donations to be taxable income. Therefore, they should issue a 1099-MISC if you got over $600 in the year. But, here and there, I see mention that some non-profit plasma banks don't send them. So, there must be an exception somewhere -- but I can't find any legal reference to it. heh.

- John...

"I love you for never believing in what I say."
- Blood, In This Moment
gbush65
Double Gold Good Trader Global Trader - willing to trade internationally
30-Jan-2013(#14)
i have worked at talecris (now grifols) for 2+ years and we have over 1,000 people go through there in a week and i have never saw anyone state anything about tax forms. When i say anyone i mean donors, management, and line staff. On a side note, a woman came in and wanted to get a printout of how much money she got donating in 2012 to try to get an apartment and she recently came back and said they wont let her use that as income because it wasn't from a job
John
So rad! GameTZ Gold Subscriber GameTZ Full Moderator
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Secret Santa
31-Jan-2013(#15)
That's really weird to me. From what I gather, Talecris/Grifols is a for-profit company. They are paying people for their time. If you pay someone over $600 in a year, you have to issue them a 1099-MISC. I can find no exceptions to this for plasma "donations." And, in fact, as I said above, I can find numerous references where the IRS makes it clear that it absolutely IS taxable. In fact, if you do it enough to earn over $2000 a year, then it is considered self-employment income even!

(I do understand apartments not accepting it as income though. I wouldn't count it either actually.)

- John...

"I love you for never believing in what I say."
- Blood, In This Moment
Chad
GameTZ Subscriber Double Gold Good Trader
31-Jan-2013(#16)
Can't you get some whistle blowing cash for reporting tax fraud?

Sounds like you got a check coming your way, John.

Topic   Do you report plasma donation on taxes?