medical research study income

[jaslady]

Is income received from participating in a medical research study taxable (on my federal tax return)? I live in Texas. Thanks, Jaslady.

[Litigation!]

Originally Posted by jaslady

Is income received from participating in a medical research study taxable (on my federal tax return)? I live in Texas. Thanks, Jaslady.

My response:

Yes. Why would you think otherwise?

By the way, how does it feel knowing that you were a Guinea Pig for the rest of us?

IAAL

[jaslady]

Because the payment is presented as compensation for travel expenses to and from the research facility and not income per se. I was hoping it might be akin to insurance payments, etc.

It feels good to contribute to the betterment of the health of our society.

[Litigation!]

Originally Posted by jaslady

Because the payment is presented as compensation for travel expenses to and from the research facility and not income per se. I was hoping it might be akin to insurance payments, etc.

It feels good to contribute to the betterment of the health of our society.

My response:

There is a difference between "income" and "reimbursement." Now, how about giving us the facts so that we can give you a better answer?

IAAL

[jaslady]

Sorry about the ambiguity, but if the research companies used 'tax' language in their agreements & literature, there would be no need for this question.

From some companies, I have received a W-2. From others - nothing. Is that my indicator?

[LdiJ]

Originally Posted by jaslady

Sorry about the ambiguity, but if the research companies used 'tax' language in their agreements & literature, there would be no need for this question.

From some companies, I have received a W-2. From others - nothing. Is that my indicator?

Any monies that truly were reimbursed travel expenses are not taxable. However, any income in excess of expenses IS taxable, whether you got a W2 or 1099, or recieved nothing.

[jaslady]

Thanks, all. I appreciate the help.

[ceara19]

Originally Posted by jaslady

Sorry about the ambiguity, but if the research companies used 'tax' language in their agreements & literature, there would be no need for this question.

From some companies, I have received a W-2. From others - nothing. Is that my indicator?

SOME? Exactly how many medical research studies are you involved in? I'm pretty sure you are not allowed to be in multiple studies concurrently.

[jaslady]

You are right, not at the same time. I am looking at income received in 2005 from multiple, short-term studies.

Have you ever looked into participating in a study? Some are long-term (6-12mos), but most are much shorter, such as determining if a new pain med is effective against dental pain. For a study like this, you must already require dental work (like wisdom tooth extraction). You have your tooth removed for free and you receive a small stipend to cover transportation costs - like $50. IF the med does NOT work for you, you get additional compensation (maybe as much as $250). This is an example of a 1 day study.

Most studies involving healthy people only run 2-4wks and require multiple office visits, some require overnight stays. Therefore, it is possible to do several studies over the course of a year. It is a popular source of income for students