You'll need to sign in or create an account to connect with an expert.
yes. If you received the check in 2013, then it's reported as 2013 income. The fact you didn't cash it until 2014 is irrelevant. Likewise if you wrote the check in 2013, and the person you wrote it to didn't cash it until 2014. You still "paid" it, in 2013.
I received a check on December 31,2019. I am supposed to be paid 883.33 per month as I am a 1099 misc employee. For some reason my employer decided it would be easier to just pay me once. This changes my whole tax status. I now owe 3,800 in taxes. Is there any way to push this money into 2020 taxes?
I received a check on December 31,2019. Is there any way to push this money into 2020 taxes?
Not legally, no. With that check physically in your hand on or before Dec 31 of the tax year, that means you had physical access to, and control of that money in 2019.
I now owe 3,800 in taxes.
So what's the big deal? If you owe $3,800 in taxes just for that check, then it tells me you received a check in excess of $10,000. So before you do "ANYTHING" take $3,800 out of that check and pay the IRS immediately if not sooner. As late as your post is, you can expect to pay an underpayment penalty too unless what you owe the IRS is less than 10% of your total tax liability.
Now if you actually deposited that check on or after Jan 2, you could probably "get away" with pretending you recevied the check on or after Jan 2 and treat it as 2020 income. In my opinion, the chances of the IRS finding out otherwise or even "suspecting" anything, are zero percent.
Now if that extra $10,000 does "NOT" put you in a higher tax bracket, I'd go ahead and claim it for what it really is, 2019 income. If I did that, there "could" be a chance that my "actual" 2020 income would put me in a lower tax bracket for the 2020 tax year. I'd also be able to have a clear conscience. 🙂
Thanks for that info. The reason I am getting wacked is I have a 1095-A which I have to pay back a portion according to my families total income. Without the $7500 I would owe about $1500. Total on my 1099-MISC is 1500 for the year.
Also, I didn't actually take possession of the check till 01/06/2020.
As long as the income was not reported on a 1099-Misc you received for 2019 and you did not receive the check until 2020, you do not need to claim the income on your 2019 tax return.
You are a cash basis taxpayer so you report income when you receive it and the same for expenses.
Still have questions?
Make a postAsk questions and learn more about your taxes and finances.
Fisher97
Returning Member
nicole-ann-sorel
New Member
vista25
Level 2
CMNeedtaxHelp99
Level 1
Eneg56
New Member
Did the information on this page answer your question?
You have clicked a link to a site outside of the TurboTax Community. By clicking "Continue", you will leave the Community and be taken to that site instead.