I earned money last tax year (2021). I was paid by my clients using PayPal. Last year, I included this money earned in my income but the money sat in PayPal. Recently I pulled out those funds. I anticipate a 1099 from PayPal. That will now be a double tax on that money. How do I tell the IRS that those taxes were already paid? Conversely, should I amend last year and then pay the tax this year? What is the best approach?
