Accrual vs. Cash - 1099 Question

I received a 1099 from a company I did consulting for in 2012. They appear to be using the accrual method, because they show 2012 total non-employee compensation of roughly $40,000. I use the cash method and only collected $34,600 of that for a difference of just about $5,400.

Question is this: Will this be a red flag or do I ask for a new 1099? I've always thought that you just report what you collect, but it seems like that's a large enough amount to cause issues.
  • I received a check from my client at the last days of 2012.  I was out of town and did not cash the check until 2013.  The client is using the accrual method and I use the cash method.  Is there any way I can claim the income in 2013 rather than 2012.  I file with a schedule C.
you should ask for a new 1099-MISC showing the amount paid to you  or "constructively received " by you. IRS gets a copy of the 1099  and if your returnrecognizes an amount different than shown on 1099 , you WILL  get a CP2000 requesting more payment. Please contact the issuer of the 1099-MISC.
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