1099 Received was for accrual method, I use cash method - How do I reconcile?

[Innocent92]

A client sent me a 1099-NEC for 12 monthly invoices for year 2023.  However, I actually received 2 payments from 2022 and 10 payments from 2023 in year 2023.  The last 2 invoices from 2023 were actually paid in 2024.

My method is to count income when I actually received it in 2023.

The 1099 issued counted income earned in 2023, but not necessarily received

How do I resolve this?  Do I ask the vendor for a new 1099?  Her accountant said that's the way she does it.

[DavidD66 · Accepted solution]

Report the 1099-NEC as received and then make an income adjustment for the difference between what was reported on the 1099-NEC and what you actually received.  For example, if the 1099-NEC was for $6,000 but you only received $5,200, add negative revenue of $(800) as a separate revenue item in the "General Income - Business Income not reported on other forms".   Be sure to add the same amount to 2024 income.