I was an employee for a small company that was having severe cash flow problems. My boss started paying me with "personal checks" written by hand from the company. He would pay me the net amount that normally would show on my regular paychecks. Turns out he wasn't withholding any tax, FICA, etc for the IRS. Now that taxes are due, he wants to treat all those checks as an advance on 2007 income. Is this legal? Should I go along with it? I believe he will be treating it all as 1099 income eventually for 2007. Along with paying me a gross up amount as 1099 income in 2007.
2007-04-17
06:34:18
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5 answers
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asked by
Stephen C
1
in
United States