Members Thunderbroom Posted August 2, 2005 Members Share Posted August 2, 2005 What are the rules/laws for handling this? While I realize that some (maybe many) get paid under the table in cash, how often do you folks have to offer up a SSN/EIN to a bar/club? What are the laws in this regard? I've heard that if a venue pays a band more than $600 in a calendar year, then they are supposed to issue a 1099. Is this true? If so, where is it in writing? Have any of your bands received 1099's from venues. Thanks for you help! Link to comment Share on other sites More sharing options...
Members machinegun78_2 Posted August 2, 2005 Members Share Posted August 2, 2005 Originally posted by Thunderbroom What are the rules/laws for handling this?While I realize that some (maybe many) get paid under the table in cash, how often do you folks have to offer up a SSN/EIN to a bar/club? What are the laws in this regard? I've heard that if a venue pays a band more than $600 in a calendar year, then they are supposed to issue a 1099. Is this true? If so, where is it in writing? Have any of your bands received 1099's from venues.Thanks for you help! ANY company who pays an someone more than 600 bucks in a tax year is required to put it in the books, and the person is made aware. then he/she can file 1099. whether the company(bar) does it or not is up to them. they CAN NOT file without your knowlege, so don't worry about it till someone says something to you. Link to comment Share on other sites More sharing options...
Members RGx2 Posted August 2, 2005 Members Share Posted August 2, 2005 they CAN NOT file without your knowlege, so don't worry about it till someone says something to you. A company is required to file Form 1099, with or without your knowledge. And, they face a fine of $50 for each 1099 they fail to file. They are also required to furnish you with a copy by January 31st of the following year. If they don't, they could be subject to another $50 fine. I've prepared numerous 1099's for companies and have had the IRS audit the 1099's for compliancy. Its very easy for the IRS to match up all reported income from a company(s) to an individual and catch those who under report their income. Link to comment Share on other sites More sharing options...
Members RupertB Posted August 3, 2005 Members Share Posted August 3, 2005 Yes, thats why we take turns with regard to who has the check written to them. That way, the tax burden is spread as evenly as possible. Its never happened to me but I've heard numerous stories about band "leaders" who always got the check only to have the band break up and who were hosed on the taxes the following year. Link to comment Share on other sites More sharing options...
CMS Author Craig Vecchione Posted August 3, 2005 CMS Author Share Posted August 3, 2005 So I see HCBF answers aren't good enough for you, huh? Link to comment Share on other sites More sharing options...
Members Thunderbroom Posted August 4, 2005 Author Members Share Posted August 4, 2005 Originally posted by Craigv So I see HCBF answers aren't good enough for you, huh? Link to comment Share on other sites More sharing options...
Members WillPlay4food Posted August 5, 2005 Members Share Posted August 5, 2005 Originally posted by Craigv So I see HCBF answers aren't good enough for you, huh? Haha, busted! Link to comment Share on other sites More sharing options...
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