If you are a "cash basis" taxpayer - which most people are - then the act of "billing" is not reportable income to you. It's the act of actually getting paid that creates reportable income. Assuming you are a cash basis taxpayer you do not include the billed but unpaid income in your 2016 income tax return.
Tom Young
If you are a "cash basis" taxpayer - which most people are - then the act of "billing" is not reportable income to you. It's the act of actually getting paid that creates reportable income. Assuming you are a cash basis taxpayer you do not include the billed but unpaid income in your 2016 income tax return.
Tom Young
Not in 2016. If you get paid in 2017 that's when you report the income ASSUMING YOU'RE A CASH BASIS TAXPAYER. And if you never get paid then you never report the income.