Does IPSOS generates 1099 with all the reimbursements? Some of their shops has pretty large reimbursements however they were not my income. I haven't got the 1099 yet but asking if someone has got it already. Also as I will be doing taxes as personal taxes I can not show how much was reimbursements as they would list everything as income. I am not asking for any tax advice but just clarification as no one has responded from ipsos yet. Thanks
So sorry ... I don't know what I did the first time I calculated.... but reimbursements are included. I guess the fact the dollar amount had change should have been a red flag. Guess I better go figure out how much is fees and how much is reimbursement as I was going to file my taxes tomorrow. Again so sorry!!
So how do we handle this tax wise? Do I need to break out the reimbursement portion form the fee payment portion? We don't pay taxes on reimbursements, correct? So it my actual pay from IPSOS shows as less than the amount stated on the 1099 form, wouldn't that be a potential issue if I am ever audited?
It really should not matter whether you have a 1099 with reimbursements or not. Shoppers should be keeping track of their straight fees vs reimbursements and other expenses for every job they do and every msc they work for whether they get a 1099 or not. You still have to file taxes on your income if you do not get a 1099 so you should prepare a list for yourself (and the IRS if they happen to request it as proof later on) so you know what the bottom line is for the amount to be reported as income to the IRS each year. There are several threads where people give examples of how they set up their spreadsheets.
The 1099 issue did not affect all shoppers. Most shoppers received forms that showed fees only. At some point, the system began to pull reimbursements as well. As soon as they realized what had happened, the company ran new forms for affected shoppers. All of the revised forms were mailed out early this week, so most shoppers who need them should have received them by now. Those who have not should get them early next week. This includes "zeroed out" forms for shoppers whose fees totaled less than $600 but whose reimbursement put them over the threshold.
I just came back to this thread because I got my blank 1099. It is not marked corrected either. And neither of the two I have has a date prepared on it. So be careful and I would recommend writing the received dates on each of them so if you ever need to go back to your 1099's in the future you will know which is the second one.
I will keep the first one for a while to make sure the govt gets the corrected copy...If they come knocking at my mailbox I can show them the corrected one.