I received a check dated Jan 2, 2018. I intended for this to be 2018 income, but the payer has sent me a 2017 1099. Can I still wait and claim on 2018 return? How?

[maglib]

you should speak to the business who sent the 1099. If the check was not written and dated in 2018, they should not have issued you a 1099 for 2017, they should be reporting it in 2018, the year paid.  They need to correct it.

[Silver13]

I already called them and argued that since the check was not cut until 2018, the1099 should not be issued until the end of 2018.  They said that they processed the transaction on December 29, 2017 so that's when they reported it.  I argued that just because they entered a process doesn't make it a payment.  It's not a payment until the check is cut.  The check was not cut until 2018 and, therefore, was not income received by me in 2017.  I had no access to the money until 2018.  They refuse to correct it.

[maglib]

What happens if the issuer won’t cooperate? They can be subject to fines at the IRS.  The money was not made available to you till 2018 and the check was dated 2018.  This is an error that they need to fix.  If not they are potentially subject to fines and even lawsuits.  https://www.irs.gov/government-entities/federal-state-local-governments/increase-in-information-retu...  Do note that you should save all documentation related to your conversations of their refusal and whom you spoke with.
You can call the IRS at 800-829-1040 and explain your situation. The IRS will contact the company that issued the 1099 and request a corrected form.  Do note this will take time and you still need to get your return done.

If they refuse to fix it you still can address it by filing an information statement. You will add the 1099 in as reported and then you will be able to adjust the amount and have to provide an information statement to the IRS with your return.
For example, you could show the $x payment on your return (on line 21, or on a Schedule C), and then explain the $x overstatement. Report the Income on schedule C and take a deduction under other expenses, for the incorrect amount, call it something like "1099 issued in wrong year". 

You could do so in a statement or footnote by showing $x on line 21, but adding “see statement.”  The statement might say:

Erroneous Form 1099-MISC    $x
Less error amount                        $x  *Amount was not paid nor issued till 2018 and will be properly reflected on my 2018 return. Issuer refuses to correct.
Net to line 21                                 $   

Sadly this will also cause you to have to file by mail.  If you file schedule C, you could put under other expense.

[Silver13]

Well, that was fun.  I just called the IRS for help on how to handle this.  She wasn't understanding of the situation.  When I told her I had received a 1099R for the wrong year, she told me to just make it simple on myself and claim it for 2017.   I tried to explain that the check wasn't written until January 2018 and, therefore, wasn't constructively received income until 2018.   She just kept telling me that since the money had been reported to the IRS for 2017, they would be looking for it on my return for 2017 and I should just claim it.   She then basically cut me off with a "Thank you for calling the IRS.  Goodbye"

This is 2018 income and I need to report it as such.  So, please tell me how I do this...  I have input the 1099R income on line 15.  Now how/where do I reverse the dollar amount and indicate that I intend to claim this on my 2018 return because that's the year the payment was issued to me?  You said I'd have to file by mail, which is fine by me, but will I still be able to input everything on Turbo Tax?   THANK YOU FOR YOUR HELP!

[maglib]

You should have asked for their manager. If you call again say you want to report a company for misreporting a 1099 who refuses to correct it. Demand a manager if they won't help. That's ridiculous. Sadly, their phone support is often just people who got 3 months of training and honestly know very little..... why you always take their id numbers down first... they try to say them fast.

[maglib]

<a rel="nofollow" target="_blank" href="https://www.irs.gov/government-entities/federal-state-local-governments/increase-in-information-retu... penalties for a company failing to file.  You would have to contact the IRS to report at 1-800-829-1040  make sure you write down persons ID number as they try to say it fast. Ask to get to correct person to report a company for failing to file tax report forms required.

[Silver13]

I just called Allianz again to request they correct the 1099R.  I keep stating that they did not cut a check to me until January 2018 and, therefore, it should be on a 2018 1099R  NOT 2017, which is how they have reported it.  They keep telling me that since they entered the process on the last day of December that the 1099R for 2017 is correct.  I stated that many companies process payroll at the end of December, but if the employee isn't paid until January, the income would not reflect on their 2017 W2, it would be on their 2018, and that this is no different.  The check wasn't cut until 2018 and, therefore, I did not receive payment in 2017.  They insist it's right and there's no way they can change it.  I don't know what system they use for accounting, but if the check wasn't cut out of their system until 2018, I don't know how they are generating a 2017 1099 for it.

I did get the lady at the IRS's tag number, but I did not catch her name.  She talked fast and like someone you'd see arguing on Jerry Springer and was eager to just get me off the phone without trying to fully understand my situation.  She kept insisting that I just claim the money in 2017 to keep it simple and told me that it was my responsibility to correct it with the company that issued the 1099.  When I told her that I had tried and that they refuse to correct it, she told me again to just claim it.  I asked her if the IRS would intervene and help me with a solution or if she could tell me how to properly reflect this on my tax return and she told me that she doesn't give preparation advice and that I could file a complaint on the 1099 but I would have to call back after February 14 to do so.

I just want to crawl into a corner.  This IRA disbursement was done to supplement income for 2018 that I will no longer be getting for a small list of personal reasons.  It was paid to me in 2018, which was the plan from the beginning, and the check states, "will report on IRS Form 1099R as taxable FOR THE CURRENT YEAR", but they've included it as 2017 income.  If I end up having to claim this for 2017, I will literally lose almost all of it because I did have income in 2017.  This disbursement was planned for 2018 and planned for tax obligations in 2018.  I'm at a complete loss.

[maglib]

You can always adjust the 1099 as we discussed and file by mail and include the explaination that the company refused to correct it and the check was dated 1/2/18 and will be reflected in your 2018 tax return.

[Silver13]

I made an appointment with a tax accountant this afternoon.  He agrees the 1099R is reported for the incorrect year.   We called Allianz from his office and they still refuse to correct it.  We decided that, rather than take the chance that the IRS may not side with me on this being incorrect, I should roll the funds over to another qualified retirement account temporarily, while I'm still within the 60 days.  This will eliminate the tax obligation for 2017 and I can pull the funds back out and expect to pay the penalty and taxes for 2018, as originally planned.  I've learned a lot in dealing with this one.  Unfortunately, I have 3 more accounts with Allianz.  I think I'll look into rolling those into something somewhere else too.  Thank you for your help on this.  I appreciate it greatly!

[maglib]

I would send the explanation statement.  It's simpler and the correct thing to do. Why should you be burdened and have to deal with rolling funds and more accounting and tax prep because of it?  I would write a letter to their head of audit with a simple explanation that they are not accounting on a cash basis for individuals.

[BobinCT]

Whose head of audit?

[maglib]

<a rel="nofollow" target="_blank" href="http://www.allianzusa.com/about/contact/">http://www.allianzusa.com/about/contact/</a>  use the contact them link write a letter and ask that it be shared with their internal audit division as they are not compliant with cash basis rules post dating checks but reporting them upon entry. I would inform them of whom you spoke with and all you were told is their system dates based on input, not based on dates of actual checks.  Post Dating the check is strong words.