Other Income

What else is taxed?

Miniature people standing on piles of different heights of coins.

Is someone's paycheck the only income he or she pays taxes on? No, other income is taxable, too.

The hand of the waitress takes the tip. The waiter girl receives a tip from the client at the hotel bar. A bartender woman is happy to receive a tip at work. The concept of service.

People have to pay taxes on any money earned at work, including tips, bonuses, vacation pay, and commissions.

Interest Rates Economy Financial Percentage Concept

Do you have a savings account? When you earn interest on your money, that interest is taxable as well. Also, if your bank gave you a money deposit to open your account, you have to pay taxes on it.

Conceptual business illustration with the words dividend tax

Your parents may have other investments, too, such as when they earn money on their dividends. These are taxed as well.

If your family has a rental property, a business, or farm income, they must pay taxes on this income.

Hand gives home and key to other hand with money cash. rental or lease a car

If your family sells your house or investments, such as stocks or bonds, they must pay taxes on them.

One winning ticket on pile of losing entries in lottery or raffle for cash or prizes

Also, if your family wins a prize, sweepstakes, or lottery, they pay taxes on the winnings.

As you can see, there are a lot more types of income than just a paycheck. Is there any income you do not have to pay taxes on? Let's look at just a few examples. Click on the question marks to see what is not taxable.