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Out of luck due to lack of documentation?

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Ariok

Junior Member
I'm fairly sure I'm out of the money, but I'm going to ask anyway.

I worked for a small computer repair business in Indiana beginning in April, 2003. Every two weeks, a company paycheck would be issued to me for $450.00, the employer claiming to be taking out somewhere in the range of $150.00 worth of taxes. No paycheck stub was ever provided to me, even when I explicitly asked for one (*kicks self for continuing working for that company*). April of 2004 rolls around, and I was finally provided a W-2 from the company (though 2 months late). The W-2 looks fine, reporting the exact information the boss reported to have taken out per pay period.

I work for the company until the end of August, 2004, then move to a better job at a different employer. Throughout August, 2004, my paychecks reflected $500.00 every two weeks, with a reported $180 to $200 being taken out (forget the amount he told me). Again, no paystubs. February 7th, 2005, rolls around and I have still not received a W-2. I send him a registered letter asking him to supply me with tax information, however
receive no reply. On February 28th, 2005, I e-mailed him asking for tax information. He replies telling me that he has issued me 10-99S forms, and that they're on their way.

Uh oh. I guess I was working 36-hour weeks for under $7.00/hour that whole time, and I end up having to pay taxes on that money in the end, too. Sigh. The sucker is deciding to keep all of the money he 'withheld' from me, as well as not pay any company-based taxes towards my employment. Aside from my 600-dpi scans of every paycheck issued to me through the company and previous year's W-2, I have no proof of tax withholdings. Like I initially stated, I'm probably out of the money, but is there anything I can do? It's February 28th and I still have no tax forms from him, and he has also screwed me with 10-99S forms rather than W-2's. Can I use the fact that no written or verbal format was agreed upon in terms of my payment format mysteriously changing from W-2 to 10-99?

Or possibly it doesn't matter, as I'm in an extremely small income bracket. Being an Indiana resident, my Indiana income was $8,500 in 10-99's (assuming I can't get W-2's out of him), and my Illinois income was about $8,500 in W-2's - so I'm in a really low income bracket...maybe I can somehow get a break and not end up owing some state $3,000.

Thanks a bunch. Any information is highly appreciated.

-Sincerely,
Ariok
 


Snipes5

Senior Member
Use what you have to create a substitute W-2. Be sure to include the Employer's last known address.

The IRS will get him for you.

You are not at the mercy of whatever document the employer supplies you with.

Snipes
 

Ariok

Junior Member
Thanks for your response! That gave me a great boost of confidence. I'm not sure how well E-Mails would hold up in an IRS case, but he recently sent me a few more. In one, he directly stated that the 'reason' I was issued 1099's was because I left the company and it did poorly without my presence (go figure!). A type of punishment, I take it. He suggests I come in and "talk to him in person" over the issue and I "won't spend a dime on taxes". I assume he was trying to coax me into working for him again. I received another E-Mail from him this morning, which was particularly interesting. He states, "I have not filed for you" multiple times, even going so far as to include the statement, "I REPEAT, DO NOT FILE. I have written it off as a miscellaneous expense!" in all caps. Looks like tax evasion now? Ugh.

And if it seems like this guy is shady, you're on the right track. I've seen him do some horrible things, but would never have imagined him do anything to me.

Should I just send all logs, check copies, and info I have to the IRS and let them sort him out? Ignoring the $8.5k in checks like he suggests doesn't sit well with my conscience. Thanks.

-Sincerely,
Ariok
 

Snipes5

Senior Member
Take your stuff to a professional, tell them you need a Substitute W-2 prepared. Let them handle it for you.

Professionally prepared returns have more credibility with the IRS.

Snipes
 

Ariok

Junior Member
Ugh...

I took a visit to a local H & R block yesterday, and the people essentially told me that I'm at a loss, having no proof of withholdings. With a $16,000 taxable income, I'm standing to pay something like $3,000+ in taxes unless I create several thousand dollars worth of business expenses (tools, miles, etc). They wouldn't even issue me a replacement W-2 with the information I provided them, saying that theres no chance at all that it'll hold up.

I've asked the ex-boss for a 10-99 form, but he keeps insisting that we "work this out" and has still not issued anything. He's apparently trying to write me off as a miscellaneous business expense or something and is completely adverse to sending me these forms he previously "threatened" me with.

Sorry to be a constant bother, but do you think I should somewhere other than H & R Block for help? It's a total shock to me that with an $8,500 income in Indiana, they want to take nearly half of it. For someone in a poor tax bracket like me, that's a pretty decent sized chunk of money...sort of unfair, if you ask me.

-Sincerely,
Ariok
 

LdiJ

Senior Member
Ariok said:
I took a visit to a local H & R block yesterday, and the people essentially told me that I'm at a loss, having no proof of withholdings. With a $16,000 taxable income, I'm standing to pay something like $3,000+ in taxes unless I create several thousand dollars worth of business expenses (tools, miles, etc). They wouldn't even issue me a replacement W-2 with the information I provided them, saying that theres no chance at all that it'll hold up.

I've asked the ex-boss for a 10-99 form, but he keeps insisting that we "work this out" and has still not issued anything. He's apparently trying to write me off as a miscellaneous business expense or something and is completely adverse to sending me these forms he previously "threatened" me with.

Sorry to be a constant bother, but do you think I should somewhere other than H & R Block for help? It's a total shock to me that with an $8,500 income in Indiana, they want to take nearly half of it. For someone in a poor tax bracket like me, that's a pretty decent sized chunk of money...sort of unfair, if you ask me.

-Sincerely,
Ariok
If you are anywhere near Indianapolis try Fiscal Tax Company. I know that they will be able to help you. They tend to have a high number of enrolled agents working for them.
 

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