Income earned in 2022 but receiving in 2023

[WiseguyDS]

Scenario: Gig worker that earns income before Dec 31, 2022. Expecting to be paid for this work in early 2023. Question: Is this income to be reported when the work was completed (2022), or when the money is actually received (2023)? 

An old answer reviewed on the form back in 2019 states: "... spoke with an accountant and was told to report the 1099 as it states and then use a miscellaneous expense - something like "1099 income not received in 2018" and put that amount down for the expense. Next year, you will need to include it as income (but you would not add that to the same client's 1099; it would just be a separate income amount."

Has this answer changed for the current tax year 2022? 

[NCperson]

@WiseguyDS - the IRS system is 'cashed based'..... income earned in 2022 but received in 2023 is 2023 income.  Only report what is on the 2022 1099 form in 2022.  Same for expenses; expenses paid in 2022 can be deducted in 2022; expenses incurred but not paid until 2023 are 2023 expenses.  

[VolvoGirl]

Are you expecting the income to be on a 2022 1099NEC?  If they don't pay you until 2023 it should be on a 2023 1099NEC at the end of next year in Jan 2024.  But yes if it is on the 2022 then those steps still apply.   

[WiseguyDS]

Thanks. It will be the "less than $600" type of gig work income that does not trigger a 1099. 

[VolvoGirl]

Then just report the income the year you got it.  So 2023.   You have to report all your income even if you don't get a 1099NEC.   Even if you get a 1099NEC you can enter all your self employment income as General or Cash.