taxes96786
Level 9
02-20-2023
05:49 AM
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
To avoid a letter from IRS...knowing you don't have to report this: here is what I do:
Report the 1099 and adjustment with a statement in the line box that says:
Pursuant to IRS code XXXXXX this is not taxable income. The funds were used for ........
Be sure client retains the "proof of" documents with copy of tax return.