Welcome Guest. Register Now!  



Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old 02-05-2019, 05:33 PM
Junior Member
 
Join Date: Feb 2019
Posts: 4
1099 Misc from mortgage company

I am a contractor and received a 1099 Misc. form from a customers mortgage company. I had a contract to do some work for a family on their home after the hurricane. We were both on the checks but they deposited them after I endorsed. Problem is I did not end up doing all the work to earn all the money. I actually only did about 15% of the work. They used the money to have other people do some work and they did some themselves (I think).

Should I simply send them a 1099 for the balance as they can offset the income from the costs to repair the home?



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
  #2 (permalink)  
Old 02-05-2019, 11:50 PM
Moderator
 
Join Date: Oct 2010
Posts: 5,258
Should I simply send them a 1099 for the balance as they can offset the income from the costs to repair the home?==============>>no. they send a 1099 to you,you do not send them a 1099. I mean aslongas you provide them with your service,they send you a 1099 basically, IRS requires any person or biz that makes certain types of payments to report them on a 1099-MISC to the recipient and the IRS;as you can see, the 1099-MISC form reports the total amount of payments you receive from a single person or entity during the year you've provided services to them. so



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
  #3 (permalink)  
Old 02-06-2019, 12:09 AM
Junior Member
 
Join Date: Feb 2019
Posts: 4
Quote:
Originally Posted by Wnhough View Post
Should I simply send them a 1099 for the balance as they can offset the income from the costs to repair the home?==============>>no. they send a 1099 to you,you do not send them a 1099. I mean aslongas you provide them with your service,they send you a 1099 basically, IRS requires any person or biz that makes certain types of payments to report them on a 1099-MISC to the recipient and the IRS;as you can see, the 1099-MISC form reports the total amount of payments you receive from a single person or entity during the year you've provided services to them. so
Thanks for the reply. I don?t think I was clear in my original post.

I received a 1099 with my name AND the homeowners names on the form. The amount was 81,000. I did 13,000 of work. The homeowners got the balance of the money. How do I account for the 68,000 that I didn?t actually receive?



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
  #4 (permalink)  
Old 02-07-2019, 11:01 PM
Moderator
 
Join Date: Oct 2010
Posts: 5,258
Quote:
Originally Posted by TommyG View Post
Thanks for the reply. I don?t think I was clear in my original post.

I received a 1099 with my name AND the homeowners names on the form. The amount was 81,000. I did 13,000 of work. The homeowners got the balance of the money. How do I account for the 68,000 that I didn?t actually receive?
then you just report it, $68K, as other income onyour Sch Cof 1040 to subtract it from your total income of $81K.



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
  #5 (permalink)  
Old 02-07-2019, 11:27 PM
Moderator
 
Join Date: Oct 2010
Posts: 5,258
Quote:
Originally Posted by TommyG View Post
Thanks for the reply. I don?t think I was clear in my original post.

I received a 1099 with my name AND the homeowners names on the form. The amount was 81,000. I did 13,000 of work. The homeowners got the balance of the money. How do I account for the 68,000 that I didn?t actually receive?
you may need brief explanation on your situation on Sch C of 1014 for Line 27:Other expenses



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
  #6 (permalink)  
Old 02-07-2019, 11:30 PM
Junior Member
 
Join Date: Feb 2019
Posts: 4
Thanks for the help! Really appreciate it.



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
  #7 (permalink)  
Old 02-08-2019, 06:19 AM
Moderator
 
Join Date: Oct 2010
Posts: 5,258
Quote:
Originally Posted by Wnhough View Post
then you just report it, $68K, as other income onyour Sch Cof 1040 to subtract it from your total income of $81K.
holy cow..my bad; NOT as other income but other expenses,line 27 on Sh C of 1040. orry forthe mistke



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
  #8 (permalink)  
Old 02-08-2019, 09:17 AM
Junior Member
 
Join Date: Feb 2019
Posts: 4
Quote:
Originally Posted by Wnhough View Post
holy cow..my bad; NOT as other income but other expenses,line 27 on Sh C of 1040. orry forthe mistke
I kinda figured that was the case after I reread it

Thank you for the clarification



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
Ads
Reply


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 and title company JEANMARCB Filing Requirements 1 01-23-2015 10:45 PM
1099 & Payroll company karinkjm Payroll 1 05-19-2011 04:52 AM
Proceeds from investment of company and 1099-Misc HT2010 Income 0 02-17-2010 04:14 PM
I am on H1B with company A. Can I get income from company B on 1099? kkb972 Tax Credit 0 12-17-2009 10:36 PM
I am on H1B with company A. Can I get income from company B on 1099? kkb972 Filing Requirements 0 12-17-2009 10:32 PM

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

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

» Recent Tax Q&A
No Threads to Display.