<musickbass[at]gmail.com> wrote

- quote -

You don't say for sure, but if you filed a Schedule C and
reported the income you received, less the business expenses
you incured, then tell the IRS that the Schedule C you filed
with a timely return (back then) is correct according to
your records.

If you didn't file a Schedule C - or otherwise report your
income (less expenses) back then - you should do so now by
filing a Form 1040X with the Schedule C (and any other forms
or schedules necessary). You may need the help of the band
members to recreate some of your business expenses such as
travel to gigs and practice, any lodging or meals while away
from home (on tour) and other expenses. You should be able
to deduct the costs of sheet music (for covers), your
equipment gets deducted through depreciation, you might have
supplies (drum sticks, picks, strings, head covers, cords,
etc) and a bunch of other expenses related to generating the
income from your music business.

For every three dollars in expenses, you probably reduce
your tax by one dollar. So get cracking piecing together
your business expenses. In the end thhough, you may still
owe some taxes, so in the meantime, get prepared financially
to pay up what you owe.

--
Paul Thomas, CPA
paulthomascpapc[at]bellsouth.net

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

<musickbass[at]gmail.com> wrote:

- quote -


On the surface, it appears that the IRS is simply doing a
match from the payer who filed the 1099MISC & you the
recipient. So, the place to start is to request the info
that the IRS has on this 1099MISC. If the info is
incorrect, you may have to contact the payer to correct it.

--
This written advice was not intended or
written to be used, and it cannot be
used by any taxpayer, for the purpose
of avoiding penalties that may be
imposed on the taxpayer.
(The foregoing legend has been affixed
pursuant to U.S. Treasury Regulations
governing tax practice.)

<<< Benjamin Yazersky CPA [NJ & NY] > > ---> real address on hobokenx or hobokeni <---

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

usickbass[at]gmail.com wrote:

- quote -

The issue at this point is not whether the form should have
been filed--the issue is whether you had income and, if so,
in what amount. Not having records is going to be a problem,
but maybe not insurmountable if you don't make a stupid
mistake right now that many people make because they are mad
at the issuer.

What you don't do--don't call up the issuer and read him the
riot act for issuing an "illegal" 1099. You need his
cooperation right now and that doesn't tend to help obtain
it <grin> . Your issue for the moment is with the IRS and
not the payor.

I would call the issuer and tell them you've got a letter
from the IRS about a mismatch and you would like, if they
could be helpful, for them to provide you with the details
of your payments so you can compare it with your records.
Be super nice because, as you know, you *don't* have records
right now so you need their records as a starting point.

Once you have their records, you can try and figure out what
might have caused the confusion (assuming that's it) or
you'll find out quickly if, in fact, they operated in bad
faith. Sometimes they will find when they research the
issue that they had made a mistake and help you fix the
issue--but, again, if you've called them up and bawled them
out they aren't going to look too hard to find any errors so
*DON'T DO THAT*.

You can dispute the amounts reported on a 1099 with the IRS
to have them go back to the payor to obtain support for the
payments--but it's best if you know ahead of time the
results they are likely to get.

--
Ed Zollars, CPA
Podcast located at http://ezollars.libsyn.com

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

I have a question.
I played in a band a few years ago. I made a little money,
but not much. I do mean a little.

Today, I got a letter from the IRS saying that they had
recieved a 1099-misc and that it showed I made 13k+ and that
I owed them 2900 in back taxes.

Now, its my fault for not keeping better track of things,
BUT, there is no way I made that much. I have NEVER filled
out a W-9 for the person who filled this on me, much less
recieved a 1099 from them.

I dont believe this form was filed on me legally. What
recourse do I have if any?

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >