In 2015 my mother-in-law owned the tiling company that my husband worked for. In early 2016 the business was transferred into my husband's name. One of the contractors he worked for, didn't update the information in their records, so the 1099 he received from them this year has his mom's social security number on it instead of his. He has asked them for a corrected one but they are being less than cooperative. If they don't correct the social (and it's already filed with the IRS which means the IRS is assuming it's his mom's income and not his) how do we go about doing his taxes...and what about his mom? My thought was we go ahead and report it as income on his taxes and his mom does not. I would think that would up his mom's audit risk...but if it did, we would be able to prove that the income was reported by us and taxes paid on it???
