New income verification system - IU recipient

[MarineLCpl]

Hi all, hope everyone is well. I received a letter stating there will be a new way of collecting employment data from IU recipients instead of having us fill out the annual form. Not sure I quite understand how it all works, but, it got me thinking. 

I have been receiving IU for almost 10 years with no otherwise income. I recently did some paid freelance music-related tasks last year and I’m unsure of how to report it, and also, could it affect my IU status. It amounts to less than $1,500, and won’t be a sustained arrangement. 

I went on the IRS website and went through their “do I have to file taxes” survey. I documented this income on the survey and the results told me I didn’t have to file a tax return. 

Well, with the new VA check system, how will the be able to see the income if I don’t file? I’m not even sure they go through the IRS, the letter mentioned the SSA. I’ve always been very open and honest with the system, I just don’t quite know how to proceed. The annual form would have made it easy to report this, but now I’m not sure what to do. 

Any thoughts?

thanks, everyone

- MarineLCpl

Edited March 2, 2019 by MarineLCpl

[Buck52]

I am not sure how to answer your question? .

The letter they sent you was it the VA or SSA? or IRS?

I been TDIU P&T  for the last 17 1/2 years and Always sent in the 21-4140 Employment Questioner.

I have never worked for $$$ but always filed a tax form. 

The TDIU Compensation is non-taxable,  or any VA Compensation Payments, so I just put down VA  100% Unemployable Disabled  Veteran

The   $$1.500 you made may have sent a smoke signal to the VA?   because were not allowed to be working,  unless we get special circumstance or from a family business or from family farm type work. and then only allowed to make so much.

   The 1.500 you made I don't think will or should hurt anything  Since you never reported it?  

I think they  (VA) may be doing away with the 21-4140 and use the  SSA/ IRS for any reported income from the Veteran.

It seems that  the form 21-4140 let us know we are not obligated to send in the form unless we do start working  other wise they will check with the IRS/SSA for any reported income from the Veteran.

Until I get a letter from the VA Them self,  I always send in the 21-4140

 with the VA We Never Know ??

[broncovet]

Va does not use the term "working".   Instead, they use the term "substantial gainful employment".  There is a differnce.  "Substantial" is defined as earning over the poverty level in 12 months, which is around 11,000 per year.    WE sometimes use the term "working", but VA defines it as SGE for purposes such as yours.  

You were well below that with 1500, so my advice is not to worry about it.  

Regulations dont fault a Vet for cutting his neighbors grass or mowing his lawn.  The defination of TDIU (for VA purposes) is "unable to maintain Substantial Gainful Employment due to sc conditions."  

At 1500 per year, you continue to meet that defination.  

[MarineLCpl]

16 hours ago, Buck52 said:

I am not sure how to answer your question? .

The letter they sent you was it the VA or SSA? or IRS?

I been TDIU P&T  for the last 17 1/2 years and Always sent in the 21-4140 Employment Questioner.

I have never worked for $$$ but always filed a tax form. 

The TDIU Compensation is non-taxable,  or any VA Compensation Payments, so I just put down VA  100% Unemployable Disabled  Veteran

The   $$1.500 you made may have sent a smoke signal to the VA?   because were not allowed to be working,  unless we get special circumstance or from a family business or from family farm type work. and then only allowed to make so much.

   The 1.500 you made I don't think will or should hurt anything  Since you never reported it?  

I think they  (VA) may be doing away with the 21-4140 and use the  SSA/ IRS for any reported income from the Veteran.

It seems that  the form 21-4140 let us know we are not obligated to send in the form unless we do start working  other wise they will check with the IRS/SSA for any reported income from the Veteran.

Until I get a letter from the VA Them self,  I always send in the 21-4140

 with the VA We Never Know ??

Hey Buck, thanks for the reply. The letter was sent by the VA. In a nutshell, it stated they are using something called “data wage match” with SSA now. If income is under the poverty threshold, they no longer require this form. If someone is flagged as having made more than the poverty level, THEN they send you a 21-4140 to fill out. I guess I’ll just file a tax return to report the income I made to be safe. At the end of the letter, it states that unless you are identified by this new system, you don’t have to verify your employment status on a yearly basis like you do now. 

15 hours ago, broncovet said:

Va does not use the term "working".   Instead, they use the term "substantial gainful employment".  There is a differnce.  "Substantial" is defined as earning over the poverty level in 12 months, which is around 11,000 per year.    WE sometimes use the term "working", but VA defines it as SGE for purposes such as yours.  

You were well below that with 1500, so my advice is not to worry about it.  

Regulations dont fault a Vet for cutting his neighbors grass or mowing his lawn.  The defination of TDIU (for VA purposes) is "unable to maintain Substantial Gainful Employment due to sc conditions."  

At 1500 per year, you continue to meet that defination.  

Yeah, I know it isn’t much, just don’t like the idea of not reporting it. It was definitely sheltered work, as I do everything from home in the privacy and safety of my own residence. Any future work would be done the same way. I mean, I would love nothing more than to do music full-time and earn a decent living, but my body and mind won’t allow it. I can’t handle the pressure of a normal workplace, so the only option is freelancing. It’s more or less something to do/take my mind off the daunting day-to-day misery. I essentially charged for services so I didn’t get taken advantage of. 

 

I feel pretty bad about the way things have gone down. My VA experience has been surprisingly pleasant but I’ve not been able to hold up my end. I had plans in 2012 to get a degree and join the workforce. The Voc Rehab program denied me at first due to the field, but ended up taking a chance. 5 years go by, degree in hand, high honors, time to join the workforce. I buckled on my very first Skype interview...truly sad my issues haven’t gotten better in 10 years, holds me back from everything good in life; relationships, new friendships, children, etc. I’m pretty screwed, and it’s not like 36k a year (IU) is anything to write home about. All my friends are making 50k or more in their work, have wives, a family. I have my motorcycle and pos Ford ranger, lol I don’t fault the VA for having these rules, but sometimes i wish i could just bounce around doing different things in terms of employment. Highly doubtful I’d be able to hold down a job, but at least I would be doing something besides withering away.

Edited March 3, 2019 by MarineLCpl
sp.

[vetquest]

In all honesty, none of us like being unemployed.  I have found church activities to fill in some of my time and then I volunteer.  It is a way to meet people and help out without the stress of a committed job.  I lost my job due to not showing up and sometimes being unavailable when I did show up if you know what I mean.  With church activities and volunteering it is ok if you cannot make it in one day or two or three.  

[MarineLCpl]

7 hours ago, vetquest said:

In all honesty, none of us like being unemployed.  I have found church activities to fill in some of my time and then I volunteer.  It is a way to meet people and help out without the stress of a committed job.  I lost my job due to not showing up and sometimes being unavailable when I did show up if you know what I mean.  With church activities and volunteering it is ok if you cannot make it in one day or two or three.  

It’s something to think about. I’m not very social, which doesn’t help the matter. However, I’m very good with online communication, messaging and such.