Before going into the discussion concerning is jury duty pay taxable, let us first make our concept clear as to what is jury duty. We all know that the jury is the panel of assigned individuals who are responsible for passing a verdict against the alleged. They decide whether the allegations in guilty or innocent.
Now comes the concept of jury duty. The jury duty is imposed upon those individuals who are citizens of US. The federal government appoints and summons them to the court at a specific time and day to serve the jury. So when the summoned juror arrives at the court, he has to fill out a questionnaire. After that, he is required to participate in the process of jury selection.
The meaning of jury duty for employed workers
The policy of the employees' jury duty is dependent on some factors. Now the employee who has been summoned by the federal state for jury duty is given two options. He is either selected or dismissed. And if the potential juror is dismissed at the beginning of the day, he is always expected by his employers to come to work whenever he is required.
On the other hand, the second category of US citizens who are selected to serve the jury needs to retain his work for a prolonged time.
Effect of employee leave on his jury duty
Whenever an employee is under the requirement to report for the jury duty leave, the leave guarantees him with a paid and honorary absence from work. Keep in mind that as per the requirement of US judiciary laws, the jury duty leave is mandatory. Therefore, it is incumbent upon the employers to give their employees a sense of free space and a significant portion of leave from their work. In this way, the employees can freely carry out their municipal duties.
It is evident that whenever a court summons an employee to the court, the employers may suffer a considerable amount of loss with the absence of the employee in the law firm. In this respect, the employers can write to the court. Upon the concession letter from the employers' side, the court will take in to notice the request of jury duty postponement. This request will be taken into consideration on a case by case basis.
Is jury duty taxable?
Now that we are clear about the concept of the jury and the jury duty, its impacts on employers and what importance it holds from the employees, let us now move to the next step. Many of the US citizens place a case study before the Tax Preparer or their respective accountant. They claim that in a certain period in their lives they have served the jury upon the court's summoning. And in return of their services, they have received a handsome amount. Now, is their earning from jury duty taxable?
So, the Tax Preparer would offer you with a logical answer. Of course, the answer is in affirmative. It is because jury duty is just like any other payment that you earn in return of your service. So just as any other payments are taxed, this income must be filed in your annual tax return.
It is typical in the United States that the majority of the property taxpayers, listed voters and licensed drivers are, at some point of their lives, are summoned by the local or supreme court to take part in the jury selection process. These individuals get a jury duty pay which is the token or payment for their services they offer the court each day during the selection process and court trials.
In this respect, such jury duty is indeed taxable. The taxpayers of this jury duty need to recognize and declare this recompense and make it a noticeable part of your federal annual tax return. When the requirement comes of official paperwork, this jury duty taxable income needs to be included in the column of other forms on your form 1040.
So now we are all clear about the idea that is jury duty pay taxable or not. It is taxable and needed to be filed in your annual tax return.
