worked for a company for around 3 months last summer called Aruba Networks as a contractor for sales to the fed

as such i got a nice 1099 in the mail

it's for around $7,000

if i don't claim this on my return will the IRS care

i get a tax credit for being a member of a volunteer rescue squad, so i won't OWE anything... it's just that if i add this, i don't get a nice refund back in the mail...

the answer to this is probably yes, but i thought i'd ask.

2/25/2008 7:48:17 AM

I think the IRS will send you a letter stating that you didn't get your full refund.

Happened to my dad a few years ago.

2/25/2008 7:59:44 AM

yeah, if it's a net zero effect, or if it results in you not getting some money back, the IRS doesn't care too much.

but if you would have even owed 'em a nickel, they'll destroy you.

2/25/2008 8:13:32 AM

^It's true. I owed them $25 one year. They were pissed!

2/25/2008 8:34:46 AM

yes, you have to report 1099 income.

2/25/2008 8:46:02 AM

What if you don't get an actual 1099, but a piece of paper that's "in lieu" of a 1099?

2/25/2008 8:55:42 AM

^that probably means they have already sent the IRS a copy of the 1099.

2/25/2008 9:47:00 AM

yeah, I got a 1099 from HSBC for interest gained. Having done all previous banking w/Wachovia, I wasn't expecting one. So, now i have to give the IRS $15 back from my refund.

It's just a pain in the ass to fill out a 1040x

2/25/2008 9:50:20 AM

A security company I worked for off-duty sent me a 1099 income form being that I was a "contractor" and all. Since they never took any taxes out I had to pay like 40% of my income in taxes I thought I was just bad at doing my taxes so I asked around at work for people who hire professionals to do it and what not and they all said the same thing. so instead of getting back 2 grand I ended up only getting back like 300 bucks

2/25/2008 9:53:09 AM

If you dont report the 1099 you will get a letter in the mail this summer from the IRS. They will have recaculated your tax and charged you with penalties and interest.

How do you get a credit for being a member of a volunteer rescue squad? I know their are deductions for charitable mileage and a $250 deduction in NC but I dont know about any credits.

2/25/2008 10:13:12 AM

1099-MISC's blow nuts

the last 3 years those things have screwed me

thanks father in law

2/25/2008 10:46:55 AM

its a new thing that just got passed into legislation last year to be in effect for the 2007 tax year

i forget the actual name of the bill

but the info got passed around our station, i showed it to my dad's accountant, and he said it was legit

2/25/2008 11:55:05 AM

If it was < $1200 I'd say ignore it.

I got a 1099 this year and it dropped my refund from $1000 to $700

[Edited on February 25, 2008 at 12:20 PM. Reason : 0]

2/25/2008 12:19:59 PM

I'm not ignoring anything that was sent to the IRS already.

2/25/2008 12:27:12 PM

If you got a 1099-MISC for contractor work, technically you were supposed to file estimated income tax for the quarters in which you did the work. If not, you owe the regular income tax + penalties and interest.

2/25/2008 12:56:47 PM

I'm just not going to accept any money for work I do for him this year. Solves that.

2/25/2008 1:08:53 PM

well get paid under the table and you won't have these problems.

2/25/2008 1:14:01 PM

Quote :

"but if you would have even owed 'em a nickel, they'll destroy you."

yay government!

2/25/2008 1:34:14 PM

Quote :

"well get paid under the table and you won't have these problems."

too bad I thought I was. until i got a check and my reaction was, "fuck." the problem is, the business is run so poorly.

2/25/2008 2:23:23 PM

My wife's 1099 sent our refund from ~$600 to ~-$2400.

2/26/2008 4:00:57 PM

yep...shit sucks

2/26/2008 4:11:37 PM

Income that is intentionally unclaimed is tax evasion. Whatever you decide, you should do so with the understanding that tax evasion is what the IRS reserves the big guns for.

2/26/2008 4:21:18 PM

I highly doubt they will prosecute you for failure to report your 1099. They would have to prove that you knowingly disregarded the 1099. This thread would be good proof though.

2/26/2008 7:38:38 PM

You earned the income, you received the form and you failed to pay the tax. You knowingly disregarded it. Not a hard thing to prove.

report it.

2/26/2008 8:08:07 PM

i got a 1099 this year for data entry....it sucks cause since i made over 600 bucks i got to file it...pretty lame

2/26/2008 8:14:24 PM

one word.....
deductions

2/27/2008 8:17:13 AM