1099 ?

[Taylors6]

I didn't want to hijack the other thread- but I am wondering if anyone here knows anything about 1099's for government sub-contractors.

I am assuming if you own your own small business and are working solely for one contractor who hold the government (Navy) contract you would get a 1099 from that business (the actual contract holder). You then would have to show all your expenses to figure out profit right?

Basically- there would be a paper trail on income paid to you as a sub contractor correct?

I guess this is budget...because my budget is blown every time my ex skates on his child support and I'm trying to figure out what kind of a paper trail there really might be on him since he now set himself up as self employeed (but is working at exactly the same place,office,etc. as previous) should I need to become friends with the very UN BUDGET like attorney!

 

[sbell111]

If he works for the contractor, he may be either an actual employee or an independent contractor. Either way, they are legally required to create that paper trail.

 

[PatsMom]

If he owns his own business he is most likely a contractor paid on a 1099. But either way there is a paper trail. And everything has to be reported on the tax return.

If his small business is a sole proprietorship you would want to know his Schedule C income - that is the form used to figure profit after business overhead. Watch out for the overhead part - he could be doing a solo 401(k) or another retirement plan that would reduce the actual profit from the business. This is a line item on the Schedule C. I'm all for people saving for retirement but not if they can't keep up on their child support!

 

[Taylors6]

Thanks for the replies! He won't voluntarily show anything....not even when the attorney asks his attorney for it. We went thru this a few years ago and we literally had to subpeona his payroll records from his employer! Ended up with 52 weeks of paystubs! It is such an ordeal (I live 12 hrs away and have to travel to where he is at) that I had thought I would never do it again- and the amount he is ordered is a fair- not huge - especially not compared to his income- but a fair amount for the area and lifestyle that my daughter has so I was just thankful that I didn't have to mess with it. Then he got set up at a private contractor- he is a limited liability company if that makes a difference and once he was no longer an employee of his old company we stopped seeing the payments (wage withholding- he does NOTHING voluntarily). Took me awhile to figure out what was going on- because he was still on the voice mail of his workplace etc.- then I ran across this company with his name on it (unique name) and followed that to figure out what the deal was. Theres enough public record info that I was able to find some things and know he is claiming to have $150,000 income- and from the looks of the trips he is taking with his wife (Hawaii, Oregon) and the fact she quit her job to stay home, oh and they put one son in private military style school- I think it might be somewhat accurate! So if I have to pay for an attorney to enforce him not paying I havedecided maybe I'll pay to have it modified too!

He probably still won't pay it- but the arrears will increase by more and maybe he'll want to settle and just pay what he owes?!?!

Reporting the income had me stumped- hes crooked so who know what he is putting on his taxes.....but if he is getting a 1099 then maybe we can subpeona Wyle Labs for those?!?

 

[mandynee22]

I get 1099'd as an independant contractor.
Yes, there's a 1099 from the company I contract through. When I file, I say what my expenses are for. Proof is only needed for an audit though (had that happen last year) but he is required to have it
Good luck with the child support stuff :-(

 

[mombare]

Well...sometimes a friendly call to the IRS could be a little incentive for him to get his act together. My husband is self-employed and gets 1099's from all of the people he works for. In addition, he needs to send one out this year (on his own, otherwise the mortgage companies deal with that). I don't know what the situation is in the state that you reside, but my sister-in-law was having a hard time collecting child support that was court ordered. The county got involved because they are responsible for collecting and transferring to her...needless to say he has spent some time in jail because in MN it is a crime to not pay your child support. Good luck, though - it is never a fun situation, but it appears from your side that he is just unwilling to pay.