Welcome Guest. Register Now!  

LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old 08-10-2009, 09:22 PM
Junior Member
Join Date: Aug 2009
Posts: 2
Only report 1099 income?

I am looking for the following info:

We run a service based business
We have always filed our taxes appropriately and through a CPA.

We provide all clients with an invoice to pay from (recorded in Quickbooks)
Only a handful of our clients send us a 1099 at the end of the year

What are the potential cons of only reporting income that we receive a 1099 for and omitting other sales? It seems as though this would reduce the gross income shown, and the other omitted invoices are likely being reported to the IRS in a lump sum deduction (with other similar expenses for our clients) so how would they be able to detect this?

I assume that the IRS could audit one of our clients that did not provide a 1099 and review all receipts/invoices, but then do they actually follow the trail of every single reciept/expense claimed?

thanks - I'm sure some of you have some strong feelings about this kind of thing... but please give me a realistic idea of how the IRS would track this and the potential consequences?


Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote

Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

Similar Threads
Thread Thread Starter Forum Replies Last Post
1099-MISC income - how to report it? rrafferty Income 1 02-11-2009 12:18 PM
Report Expenses Related To 1099 Income n8scstm Income 3 01-04-2009 05:31 PM
How must I report a 1099-Div received from my Mutual Fund? Anered Capital Gains 1 03-11-2008 04:44 AM
I Could Not File 1096 For Report Of 1099 Misc YOUNUS Miscellaneous 1 04-03-2007 12:57 PM
How do I report 1099-Misc Income? dreamiet Sole-Proprietorship 1 01-21-2007 01:23 AM

Follow us on Facebook Follow us on Twitter Google Buzz Rss Feeds

» Categories
 » Income
 » IRA/Sep
 » Medical
 » Payroll
Forum for CPAs
Financial Planning