Help! I am still waiting for my 1099 from my previous company (I have independent contractor status). I can't file my income taxes without it, can I? I have strong suspicions that the employer has fraudulent bookkeeping (that's one of the reasons I left)and I may never get a 1099 because he has recently sold the company. The new owner says he's not responsible for anything before year 2000. The previous employer isn't answering my calls. What should I do?
<< Help! I am still waiting for my 1099 from my previous company (I have independent contractor status). I can't file my income taxes without it, can I? >>Unless there was withholding (I'm not even sure there's a place for withholding on the 1099-MISC), you don't need it. You prepare your return from your meticulous records, without which you wouldn't know if the 1099 was correct if you had one. The 1099 is for IRS's information, not yours.Phil MartiTax Preparer
Thanks, Phil. You've given me great relief! Does this also apply to those other employees who are awaiting their w2's from the same guy? And what if he does report my income inaccurately to the IRS? Whose records will the IRS believe--the employer's or the employee's? He made some whopping errors on my 1099 last year. He only re-issued a corrected 1099 in May, which made me have to file for an extension. I very much appreciate your participation on this board.
Hi Bermie, If you have inaccurate W2's or 1099's, the IRS has a procedure for handling the discrepancy and will get your "claim" officially on file. Just call Customer Service (1-800-829-8815) and tell the Rep that you have not received your 1099 and that you and your fellow employees have innaccurate W2's. The Rep will fill out a 3-part Form 4598 and will send you your copy along with some 4852's, 1040X, and instructions. After the Rep fills it out, one copy of the 4598 goes to IRS files, and the third copy gets sent to the "payor" along with various other Forms. Your fellow employees should do the same and get their claims officially on file. You (or your co-workers) will also be sent a 4852 (Substitute for Form W2 or Form 1099R, which is filed with your 1040 if necessary). Then file as you regularly would reporting the income. Please don't forget to keep copies, however. Also, you mention the possibility of fraudulent accounting practices with your previous employer, and, since we all pay for fraudulent activity, I'd like to also mention that you may wish to report the company. If you would like to report the company, you can also mention that to the Rep who will then fill out another form. You would need the tax ID number, if possible, the name of the business and the address information. The Rep will be asking questions like: What is the nature of the tax violation? (Filing false or altered documents, etc.); Are there books or a second set of books that you know of?; and How did you learn of this potential violation?; etc. Wishing you well,Toni
<< Does this also apply to those other employees who are awaiting their w2's from the same guy? >>No. See Toni's post on what THEY have to do. (See below for more on Toni's post.)<< And what if he does report my income inaccurately to the IRS? Whose records will the IRS believe--the employer's or the employee's? He made some whopping errors on my 1099 last year. He only re-issued a corrected 1099 in May, which made me have to file for an extension. >>If your gross receipts on Schedule C are less than the total of the 1099-MISCs issued, IRS may inquire. Once you inform IRS that the 1099 is bogus, THEY must ascertain its correctness. Given what you've told us about this company, that should be difficult for them to do, and might even lead to an audit of the company, if the IRS person is paying attention.Regarding Toni's post, do not contact IRS about your missing 1099. As mentioned before, you don't need it. Employees do need their W-2's because there's withholding. That's why they need the substitute W-2 before they file, and the proper procedure for getting one is to start by calling IRS.Phil Marti
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