1099 Misc. Tax Question

[Stressy]

My son is a sports official. He generally doesn't work enough in any one place to generate a 1099. This year one of the associations he works for decided to become a non profit organization and issue 1099's.

He got his BUT it had no Federal or State ID on it. All the officials' 1099's looked the same.

First email said, Whoops...here are the numbers.

Second email said, we messed up. We are unable to calculate your income for the year correctly. We will not be sending corrected 1099's. We are explaining this to the IRS. Just throw away the 1099's and report your earnings the way you have in the past.

My question is this..was this income reported to the IRS even if the form was not completely correctly? It does have his SS# on it.

Ordinarily he would not be filing a tax return but if this income is reported regardless of the errors then I think he should file.

 

[glypnirsgirl]

I recommend that people file taxes even if they are not required to do so. It starts the time running for the IRS to assess your return. If a return is not filed, there is never any certainty that you were not mistaken in thinking that a return was not required. And you never have to worry about a "failure to file" or "late filed" penalty.

elaine

 

[Talent312]

IRS says that he must file if he earned $400 or more from self-employment.
http://www.irs.gov/individuals/article/0,,id=96623,00.html
The 1099, accurate or not, brought his self-employment to their attention.

His filing is primarily for Social Security purposes. There is self-employment tax.
He starts getting credits for working under the SS system.

 

[#1 Cowboys Fan]

I got a 1099 from Ameritrade in yesterday's mail.

What is the LATEST they can send you a 1099?

What if I had already processed my taxes?

Pat

 

[dougef]

I got a 1099 from Ameritrade in yesterday's mail.

What is the LATEST they can send you a 1099?

What if I had already processed my taxes?

Pat

Brokerages were required to mail them by Feb 15th. Taxpayers are advised to wait until all of these are received before finalizing taxes.

 

[glypnirsgirl]

We just received a 1099 from the IRS for interest from our last year's income tax return --- mailed on February 15th!

I had not even thought about the interest that they paid us on our tax refund. And there it was. Now I am going to have to file an amended return.

elaine

 

[Talent312]

What if I had already processed my taxes?

If you forgot to include it, or if your numbers differed from theirs, you would have to file a 1040X amended return, included in most tax-prep software.

I did a 1040X once for a deduction which increased my refund by $14.00.

 

[bogey21]

What is the LATEST they can send you a 1099?

What if I had already processed my taxes?

Because of delays in getting W-2s, 1099s, etc. I always file for an extension prior to April 15th and file my taxes after I am sure I have all the documentation I need.

George

 

[Twinkstarr]

I just got my 1099's from Schwab this week, my Wells Fargo accounts the week before. Geez, I just dropped the rest of my tax info off last Monday.

My accountant will usually have my returns(personal and trust) done by mid March, but we usually sit on them as I have gotten corrected 1099's at the end of March.

 

[amycurl]

My DH is self-employed, and this is why we're always filing just a few days before the deadline. Already this year, he's gotten one corrected 1099 from an employer, and is *still* waiting on another--yes, it is past the deadline, but that's par for the course for this particular company.

This is all well and good, but it does make filing for educational financial aid a pain in the patootie.

 

[Timeshare Von]

My son is a sports official. He generally doesn't work enough in any one place to generate a 1099. This year one of the associations he works for decided to become a non profit organization and issue 1099's.

P.S. One has nothing to do with the other. Whether an organization is recognized as a NFP, if they issue payments to a single individual/entity over the required level ($600) they must issue a 1099.

 

[Stressy]

My DH is self-employed, and this is why we're always filing just a few days before the deadline. Already this year, he's gotten one corrected 1099 from an employer, and is *still* waiting on another--yes, it is past the deadline, but that's par for the course for this particular company.

This is all well and good, but it does make filing for educational financial aid a pain in the patootie.

Exactly. IF my son needs to file then we need to get it done so we can move on to the FAFSA. It's due 3/2.

 

[MichaelColey]

I got a 1099 from Ameritrade in yesterday's mail.

What is the LATEST they can send you a 1099?

What if I had already processed my taxes?

Being self-employeed, I receive lots of 1099s. I've regularly receive some as late as late February and March (obviously mailed late) and once even received one sometime past the middle of the year (like July?). I always report ALL of my income, whether I receive a 1099 or not, so the late reporting doesn't affect what I owe.

 

[dioxide45]

Being self-employeed, I receive lots of 1099s. I've regularly receive some as late as late February and March (obviously mailed late) and once even received one sometime past the middle of the year (like July?). I always report ALL of my income, whether I receive a 1099 or not, so the late reporting doesn't affect what I owe.

My guess is that as long as you are reporting income equal to or more than the sum of all reported 1099s, you won't have any issues. If you under report though, expect a letter from the IRS.

 

[SOS8260456]

All income is considered taxable income unless specifically excluded under tax statute. So if someone received one dollar from officiating a sports event, then that dollar is taxable income even if no 1099 is required to be sent. 1099's are just extra insurance for the IRS and they are set up as a dual responsibility system. If a company is suppose to issue a 1099 and they do not, then that deduction can be denied for the company paying out the money.

Self employment taxes are only due on net income greater than $400. My husband does officiating and potential deductions are his uniforms, his annual dues, his equipment (whistle and rule books), his mileage to the event, his mileage to the referee meetings. I won't let him deduct the beer he drinks at the meetings though because I tend to be conservative.

Although self employment taxes may not be due, regular federal, state and possible local taxes are due on the income.

Hope this helps.

Lisa from PA

PS this is not intended to be given as tax advice because everyone's tax situation is different. These are just my experiences and interpretations and are given freely and that is exactly what they are worth.

 

[Stressy]

All income is considered taxable income unless specifically excluded under tax statute. So if someone received one dollar from officiating a sports event, then that dollar is taxable income even if no 1099 is required to be sent. 1099's are just extra insurance for the IRS and they are set up as a dual responsibility system. If a company is suppose to issue a 1099 and they do not, then that deduction can be denied for the company paying out the money.

Self employment taxes are only due on net income greater than $400. My husband does officiating and potential deductions are his uniforms, his annual dues, his equipment (whistle and rule books), his mileage to the event, his mileage to the referee meetings. I won't let him deduct the beer he drinks at the meetings though because I tend to be conservative.

Although self employment taxes may not be due, regular federal, state and possible local taxes are due on the income.

Hope this helps.

Lisa from PA

PS this is not intended to be given as tax advice because everyone's tax situation is different. These are just my experiences and interpretations and are given freely and that is exactly what they are worth.

:rofl:

Thanks Lisa. That IS very helpful. I have made him keep meticulous records on all of the above. I told him his day of reckoning was coming.

This year he was assigned a college play off game. It was D3 so only streamed on the Internet. I'm his Mom so of course I watched it But, I told him what happens when you get D1 and it's televised? You can't hide from the IRS when you are on TV!!