Eli5 – Why are bonuses taxed for everyone

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I work in a profession where my bonus is a small set amount and isn’t guaranteed (you have to qualify for it). I really look forward to earning the bonus and have to work pretty hard to get it. So why are bonuses taxed when I already have my regular salary chopped up? It’s pretty disheartening to see this small amount reduced after earning it.

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Anonymous 0 Comments

A bonus is income. It is taxed like income. You don’t get special privileges just because it’s a bonus…

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