Under the table work

[nica 5]

My husband arrived here after a long 10-month CR-1 process. He's got his green card, and is starting to look for work. One employer has shown interest, but says the job pays cash. I know that it's illegal for an employer to pay an employee cash, and that it's illegal for the employee if he/she does not declare those earnings to the IRS... but from the point of view of immigration, should we be wary of this?

We would plan to pay taxes on the earnings at the end of the year, but I'm worried that it might still look fishy to the IRS, and I don't want anything fishy showing up when we submit our tax returns for the 2-year CR-1 renewal interview. Any thoughts or experience with this?

Edited July 25, 2012 by nica

[Gosia & Tito 199]

My husband arrived here after a long 10-month CR-1 process. He's got his green card, and is starting to look for work. One employer has shown interest, but says the job pays cash. I know that it's illegal for an employer to pay an employee cash, and that it's illegal for the employee if he/she does not declare those earnings to the IRS... but from the point of view of immigration, should we be wary of this?

We would plan to pay taxes on the earnings at the end of the year, but I'm worried that it might still look fishy to the IRS, and I don't want anything fishy showing up when we submit our tax returns for the 2-year CR-1 renewal interview. Any thoughts or experience with this?

Not illegal to be paid in cash, as long as due taxes are retained and at tax time, you declare and pay taxes accordingly.

But it is strange, most do pay with check, direct deposit, etc; so they can also take the corresponding deductions. I guess a good test would be to see if this employer does the employment eligibility verification; if they do not, I would say away.

[aaron2020 11,651]

My husband arrived here after a long 10-month CR-1 process. He's got his green card, and is starting to look for work. One employer has shown interest, but says the job pays cash. I know that it's illegal for an employer to pay an employee cash, and that it's illegal for the employee if he/she does not declare those earnings to the IRS... but from the point of view of immigration, should we be wary of this?

We would plan to pay taxes on the earnings at the end of the year, but I'm worried that it might still look fishy to the IRS, and I don't want anything fishy showing up when we submit our tax returns for the 2-year CR-1 renewal interview. Any thoughts or experience with this?

Under the table work is always illegal. It is a means to illegally avoid paying payroll taxes by the employer and income tax by the worker.

Even illegal income must be declared on a tax return. This is how the US government got Al Capone - not for murder but for failing to declare his illegal income and pay taxes.

This is not an immigration matter. It is a tax matter or rather a tax avoidance matter.

Most people never get caught for working under the table. It's a cash transaction for a reason, so no records will be kept.

If your husband gets hurt at work, he will not qualify for worker's comp. He will not get unemployment benefits.

IMHO, this is a stupid idea. He can work legally, so get a legal job. Doing anything illegal is a bad idea. Is the money worth the potential consequences? IMHO, no.

If the employer does not pay payroll taxes, then your husband must pay them. Is he prepare to pay 15-16% of the money for payroll taxes on top of income taxes (0 to 35% depending on your joint income) without any of the unemployment benefits and worker's comp?

Edited July 25, 2012 by aaron2020