Subcontractor and no 1099?

[Dozerbob]

I am from Florida here is my question. I worked one year for a friend as a subcontractor.He paid for my business liscence.I'm incorporated.The question is he didn;t send me a 1099 do I need to file it. I made more than $600 a week.What do I do this is the first time I've done this.

 

[LdiJ]

I am from Florida here is my question. I worked one year for a friend as a subcontractor.He paid for my business liscence.I'm incorporated.The question is he didn;t send me a 1099 do I need to file it. I made more than $600 a week.What do I do this is the first time I've done this.

You need to get yourself to a tax professional ASAP. You were required to file a corporate return (and the deadline was March 15th) and then, assuming that you made an S-corp election, the income flows through to your personal return via a Schedule K1. If you were a C-corp then it gets even more complicated.

You honestly need the help of a tax professional. Go see one now. You should have talked to one prior to getting involved in this business.

 

[Dozerbob]

I knew something wasn't right from the beginning.Your right I should have talked to someone.Back in November they started taking taxes out every other week.I took that and filed a return jointly with my wife's income and the former company that I used to work for.Good Lord if I knew it would be this bad I would have never went to work for him.I've just been had havn't I?Thank you.I can't even afford a cpa now that I left him to go back to what I was doing before.

 

[LdiJ]

I knew something wasn't right from the beginning.Your right I should have talked to someone.Back in November they started taking taxes out every other week.I took that and filed a return jointly with my wife's income and the former company that I used to work for.Good Lord if I knew it would be this bad I would have never went to work for him.I've just been had havn't I?Thank you.I can't even afford a cpa now that I left him to go back to what I was doing before.

You don't necessarily need a high priced CPA, but you do need a tax professional with some solid experience. This is not something that you should be ignoring. The IRS is going to be asking you for that corporate return in a few months. The longer you wait to handle it, the more expensive its going to be.

 

[TinkerBelleLuvr]

I'm incorporated

What matters on this is HOW you elected to file your taxes when you incorporated.

The reason I ask is that the person from whom I was going to purchase a business incorporated elected to file their taxes as a Schedule C. So no, corporate tax return was NOT needed in all cases.

OP - go back to your incorporation papers and find out what you elected to do. I can't remember right now the form needed to be filed with the IRS to do the election.

You should be looking for a tax professional who has experience in small business.

 

[LdiJ]

What matters on this is HOW you elected to file your taxes when you incorporated.

The reason I ask is that the person from whom I was going to purchase a business incorporated elected to file their taxes as a Schedule C. So no, corporate tax return was NOT needed in all cases.

OP - go back to your incorporation papers and find out what you elected to do. I can't remember right now the form needed to be filed with the IRS to do the election.

You should be looking for a tax professional who has experience in small business.

Ginny, an LLC can be a disregarded entity, but not a corporation. The OP could file a zero return for the corporation and then claim the income on schedule C, but the corporate return still has to be done.

 

[Dozerbob]

Thankyou guys so much for your help.The only thing is I don't have the money to pay. This jack ass I worked for promised me that I would be making all kinds of cash and bonuses.I don't know how my family survived all year with the money I made.I got jacked and it pisses me off.It's bad when you don't make enough money to pay bills but add tax to it.

 

[LdiJ]

Thankyou guys so much for your help.The only thing is I don't have the money to pay. This jack ass I worked for promised me that I would be making all kinds of cash and bonuses.I don't know how my family survived all year with the money I made.I got jacked and it pisses me off.It's bad when you don't make enough money to pay bills but add tax to it.

I really understand...you really got screwed. However that doesn't change the fact that you are responsible for income tax on the money you earned, one way or another.

Get yourself a consult with a local tax pro and then ask for an installment plan with the IRS and the state....and in the future, don't accept a job that doesn't treat you as a full fledged employee.

 

[taxhelp]

I really understand...you really got screwed. However that doesn't change the fact that you are responsible for income tax on the money you earned, one way or another.

Get yourself a consult with a local tax pro and then ask for an installment plan with the IRS and the state....and in the future, don't accept a job that doesn't treat you as a full fledged employee.

I also have a similar situation. However, I did it with the intention of operating under the corporation (LLC) but didn't end up using it. I had some income paid in cash and bought some computers for business. What do I have to do if I want to file schedule C instead of 1120. Do I have to close the corp?

 

[LdiJ]

I also have a similar situation. However, I did it with the intention of operating under the corporation (LLC) but didn't end up using it. I had some income paid in cash and bought some computers for business. What do I have to do if I want to file schedule C instead of 1120. Do I have to close the corp?

An LLC is not a corporation. If you made a formal election to be taxed as an S-corp, then you would need to file a zero return for the LLC. (1120S) However, if you did not, then the LLC can be a disregarded entity and you would simply file a schedule C, but include the LLC name and EIN number on the schedule C.