So if i do some some work for someone, and they pay me with check. A check made out to just my name. Does the IRS know?
No 1099 & w-9 forms.
2006-10-12 10:55:00 · 5 answers · asked by design_pirate 1 in Business & Finance ➔ Careers & Employment
The IRS can find anything. If they find out that you are getting paid under the table and not filing your taxes, you can get into TROUBLE.
2006-10-12 11:02:37 · answer #1 · answered by Anonymous · 0⤊ 1⤋
Yes and no. There is no tracking system for that. But they can follow the paper trail. If they audit the person who paid you that could lead them to you. They also monitor bank accounts when large amounts of money are being moved around. The key thing is how much taxes are you skipping out on. If it is a lot, you could go to prison.
Justin James
http://www.globalstaffing.org/
2006-10-12 10:59:06 · answer #2 · answered by Justin J 2 · 0⤊ 1⤋
Yes, they can. Banks are required to keep records for several years and the IRS can find out from them. (They may have to get a court order, but usually banks are real cooperative -- the IRS keeps tqbs on _them_, too.) They aren't likely to bust you for failure to report fifty dollars or so, but why take the risk?
2006-10-12 11:07:32 · answer #3 · answered by Dick Eney 3 · 0⤊ 1⤋
If they are on to you about anything, they can pick it up if you cash checks on a regular basis through an account, but I doubt they pick up anything of this sort at random without provocation.
2006-10-12 10:58:22 · answer #4 · answered by The Advocate 4 · 0⤊ 1⤋
no, I work for the bank. The IRS only gets notified when it is $10,000.01 or more. the bank reports it!
2006-10-12 10:59:11 · answer #5 · answered by Anonymous · 1⤊ 0⤋