I should have clarified - IF you are on a cash basis. I don't know any small businesses that use accrual. d ----- Original Message ----- From: "Dee Dee King, Certified Genealogist" <king@forensicgenealogyservices.com> To: "Molly" <mkcindc@yahoo.com> Cc: transitional-genealogists-forum@rootsweb.com Sent: Friday, January 4, 2013 3:21:50 PM Subject: Re: [TGF] Tax question You are supposed to claim it for the time in which it was actually paid. If this was all your income, you'd be better off claiming it in 2013 anyway. IRS gives you five years to make a profit. Better to have the income start the first of 2013 rather than November of 2012 and count towards that five years. best regards, Dee ----- Original Message ----- From: "Molly" <mkcindc@yahoo.com> To: transitional-genealogists-forum@rootsweb.com Sent: Friday, January 4, 2013 1:40:46 PM Subject: [TGF] Tax question How do I include for tax purposes work I did in 2012 but received payment for in 2013? Does it count for 2012 or 2013? My business is currently a sole proprietorship, if that makes any difference. And since I only went live in November, I will most definitely be in the red for the year. Thanks for your help! KC Reid Deeper Roots www.finddeeperroots.com The Transitional Genealogists List was created to provide a supportive environment for genealogists to learn best practices as they transition to professional level work. Please respect the kind intentions of this list. ------------------------------- To unsubscribe from the list, please send an email to TRANSITIONAL-GENEALOGISTS-FORUM-request@rootsweb.com with the word 'unsubscribe' without the quotes in the subject and the body of the message The Transitional Genealogists List was created to provide a supportive environment for genealogists to learn best practices as they transition to professional level work. Please respect the kind intentions of this list. ------------------------------- To unsubscribe from the list, please send an email to TRANSITIONAL-GENEALOGISTS-FORUM-request@rootsweb.com with the word 'unsubscribe' without the quotes in the subject and the body of the message