Taxes?????

[jggarrettllc]

Ok heres a question for any cpa's in the bunch. I did alot of carpentry work for a guy ($21,000) last year. Well at the end of the year we had a falling out and he witheld $4,400, but he said he would not 10-99 me for any of the money. I put the money in my llc bank account, so what can i do. Some say not to claim it........some say jail time. I'm searchin for answers....thanks

jay

[Scaper-S2k]

Did he withhold any taxes from your paycheck throughout the year?

[Brian@Greenleaflawn]

Claim it, or you may be BIG BUBBAS lover for the next 10-20. In all seriousness you should consult a legit cpa to get your stuff together.

[jggarrettllc]

he cant come up with the cash so he TOLD me that he was gonna hold the money and not 10-99 me. so to get the money im gonna have to go to court. He is payin the tax on the money. I'll probably call the irs and ask them......rat him out.

[Scaper-S2k]

Actually, he can get into more trouble than you. If he said you were an independent contractor (1099 form), then he didn't withhold taxes. So now YOU have to pay them. The $4000 really has nothing to do with the 1099. He owes you that money.

If he tells you that the $4k is tax witholdings, fine, but ask him where your W-2 is.

Simple, tell him you are going to report him to the IRS. He will pay you.

But either way, regardless of 1099 or not, you will have to pay taxes on that money. A 1099 doesn't mean it's tax free.

[Seascape]

Id claim it! This guy sounds like a audit just waiting to happen. And when it does,,,,,,,,,,, theyre gonna find out about you (cause they aint stupid). You better have all your ducks in a row!