Right! :thumbsup:Best practice is to follow the laws and keep records of them the whole way through and then 1099 them for your tax purposes.
Since no monies were ever recorded, if you start now, you are creating what the IRS calls a "paper trail". Which is how, when they audit you, they will find you have not paid taxes on said people.Have a question ...
Have a couple of employees that I have always paid cash. never given them a 1099. no monies ever recorded anywhere.
now I want to at least record them in qb. I use qb 06.
can I show them as vendors or employees. how do I record a payment to them. What account does it go under and Item.
all mixed up with this one......thx...mark