How do you handle tax concerns for paying the piano teacher?

Unless you are a professional yourself and can deduct the cost of lessons, the taxes are the concern of the teacher, not you.

What is the nature of your concerns?

Piano teaching is labor, and labor does not require a sales tax to be paid to the teacher.

Just protecting myself against Uncle Sam.

I guess we're a bit unclear as to what aspect of taxes and lessons you have a question about. Are you a student paying a teacher? If so, you do not need to pay sales tax, but unless you are a self-employed music professional yourself, you cannot deduct your lessons from your taxes. Are you a teacher? Then you need to file and pay taxes on income received that exceeds $400 per year.

Classical Man,

This really differs from state to state, and your best bet is to engage an accountant & tax pro to help you out.

In general, the Federal government doesn't collect a sales tax, but it does collect a self-employment tax, as well as the income tax.

Seven states have no sales tax, but the rest do, and whether they apply to lessons is not immediately obvious. States also have other taxes which you may be required to pay - inventory, B&O (which is truly an obnoxious tax), etc.

John

Afaik, the OP is a student.