I provide photography services to multiple clients. I don't know the specifics of how my clients do their taxes and expenses. Some are registered as businesses and some are individuals. Some send 1099-NEC on time and some send them after I have filed. Some never send them at all. I use Quickbooks and track the income for each invoice I collect anyway, so my Schedule C accurately reflects all my income. If I enter the 1099-NEC on my return for the few clients that send them, I don't know how I then remove the income from these clients that I already tracked throughout the year when they paid my invoices so it is not counted twice. I also don't know what to do when I get a 1099-NEC after I have filed. Even though the income the 1099-NEC refers to is already included in my Schedule C, do I need to go back and amend my return? At the end of the day, I know I filed my correct income on my Schedule C, but I don't want these 1099's raising any issues with the IRS.
You are reasonably safe if what you report is equal to or more than the forms that IRS gets. You are in a difficult position regarding not knowing whether or not you will get a form.
One solution is to file in April. You should have gotten all the forms you will get by then.
You are reasonably safe if what you report is equal to or more than the forms that IRS gets. You are in a difficult position regarding not knowing whether or not you will get a form.
One solution is to file in April. You should have gotten all the forms you will get by then.
Thank you Colleen. Do I need to report the 1099 at all since the income is already reflected on the Schedule C imported from Quick Books? Is there a place in Turbo Tax where it will resolve that the 1099 isn't income in addition to what is already reported on Schedule C?