In a family law case, what to do when you have no 1099s to prove how much income you earn?
Los Angeles, CA |
A friend of mine is in a divorce case. His spouse claims he makes more $$$ than he actually does because he receives no 1099s .She claims he is paid mainly cash. He is a skilled craftsman w/o contractor license, no dba,etc. and is paid checks for the jobs he does by his clients. Since these clients issue no 1099s when they are supposed to, is this his problem OR can he prove his income based on the checks they pay him to prove his income? He deposits their checks into his Chase account and then uses these monies to pay a couple of his workers. He then reports his annual income to the IRS based on his Chase statements/expenses etc? Can he show the court his bank statements to prove his income. His IRS filings/Schedule C reflect his annual account activity. Thank You Anyone.