You know, I didn't think about it that way, but you might be right. The timing does seem really suspicious since he never mentioned anything about taxes for 5 years and now suddenly he's threatening to file forms right after this disagreement. Should we be consulting with a lawyer about this, or is this mostly just a tax issue?

This is potentially both a tax issue and a legal issue. For the tax part, follow the advice others have given about properly reporting income and disputing any incorrect 1099s. For the legal aspect, if you believe he's using tax reporting as retaliation, it might be worth consulting with an attorney - particularly if he reports inflated amounts or continues with other harassing behavior. A strongly worded letter from an attorney might be enough to make him back off. In some jurisdictions, using financial reporting systems for harassment could potentially violate laws against harassment or intimidation.

Do you have any recommendations for how to start tracking this stuff? I do some side work too and I'm terrible at keeping records. Any apps or systems that work well for this kind of thing?

I've found QuickBooks Self-Employed to be really good for this. It lets you track mileage automatically with your phone's GPS, you can take pictures of receipts and attach them to expenses, and it helps calculate your quarterly estimated taxes. There are also simpler options like the Everlance app just for tracking expenses and mileage, or even a basic spreadsheet if you're disciplined about updating it. The key is consistency - set aside 15 minutes each week to update your records while everything is still fresh in your mind.

They actually ask for proof that kids lived with you when filing? I've never had to upload school records or anything using turbotax.

That's reassuring to hear. I'm definitely not trying to cheat the system, just worried about my lack of documentation. Any tips on tracking business expenses for yard work specifically?

I tried to set up an online account but it required some credit card info that I don't have because I only use a debit card. Is there another way to access this info?

You can request your tax transcripts by mail using Form 4506-T if you can't create an online account. Another option is to visit a local IRS Taxpayer Assistance Center in person - just call 844-545-5640 to schedule an appointment. They can print your transcripts right there. You can also call the IRS transcript request line at 800-908-9946 to have transcripts mailed to your address on record. Just be sure your current address is updated with the IRS first.

What's the difference between an account transcript and return transcript? I always thought they were the same thing.

Thanks for the warning! Did your cousin have to pay back a lot in penalties? That's exactly what I'm worried about - even if I don't spend the money, I'm concerned they might still hit me with fees just for depositing it.

He ended up paying about 8% more than the original amount because of the penalties and interest that accrued during the 7 months before they discovered the error. The worst part was they froze his next year's refund until everything was paid back. Even if you just deposit it without spending, they might still consider that as you "accepting" the refund, which could potentially trigger penalties. The IRS doesn't care much about intent - they care about whether you received funds you weren't entitled to. Better to be proactive and get written documentation showing you've tried to return it.

This happened to my brother last year. Someone filed a fake return with his SSN claiming a huge refund, and he got similar letters and checks. The IRS fraud department was actually pretty helpful once he reported it.

That's actually a really smart idea I hadn't considered. If I added my personal vehicle to the fleet part-time, would I need to list it on all my rental sites/apps? And is there a minimum amount of time it needs to be available for rent to qualify?

You would need to make it legitimately available for rent, which typically means listing it on whatever platforms you use for your other rentals. There's no specific minimum time requirement in the tax code, but you need to be able to demonstrate genuine business intent and availability. What I do is block out certain days/times when I need the vehicle personally, but leave it available for rental during other periods. Then I keep detailed records showing when it was in service for the business versus personal use. This creates a clear paper trail showing business intent. Just make sure your business insurance covers this arrangement - that's often the biggest hurdle.

My CPA tried to use Section 179 for my business vehicle last year (a high-end SUV) and we got flagged for audit. Make sure the vehicle qualifies - has to be over 6000 lbs GVWR for the higher limits and you need to use it >50% for business which you have to be able to prove.