The IRS does not keep track of your contract labor payments. Your are responsible for keeping track of these payments. When you complete your tax return, you will input the total for the year. If you are ever asked to provide substantiation for these payments, have a bank statement or some other evidence that supports these payments. I recommend you put a copy of these payments in a paper copy file and retain in your records.
I hope this is helpful to you.
Kelly C.
CPA
