I received 1099-Misc in 2006, for work done in 2005. How do I claim appropriate expenses on my 2006 return?

Question

I received a 1099-Misc in 2006 for work that was done in 2005. I used to be an independent contractor until Dec.2005.
I received my last paycheck for this work in Jan 2006.

However, I started working as a full-time employee at a company beginning Jan 2006.
How do I claim appropriate expenses against the 1099-Misc income in my 2006 tax return (since it was for work done in 2005)?
Thanks!

Answer 1

If the money was paid in 2006, you must claim it on your 2006 return. Any expenses paid in 2006 are also deductible. Expenses paid in 2005 would have been deducted on your 2005 return and cannot be deducted again.

Answer 2

2006

Answer 3

The 1099 form you are receiving now is for money paid in 2006, regardless of when you earned it. You should have received your 1099 last year for all money actually paid in 2005, not for the full amount you earned if some was paid in 2006.

Your expenses should have been claimed against the income last year. You didn't have any expenses to claim for 2006 if you didn't earn the money in 2006. If you failed to claim them against your 2005 income, then you may need to file an amended return for 2005.

Answer 4

there is a form in the 1040 where you would put in that amount you made. Its in the Miscellanious income section thats where it goes no sweat just cause you ended it in 2005 you still got paid in 06 so it goes on your 06 taxes.