Does anyone have recommendations for a CPA that’s knowledgeable in horse issues? Particularly 1099 filings for equestrian professionals/trainers? The thread from 2011 is nowhere near current as the websites linked therein are now all dead links and the one individual who was recommended passed away in 2015. Thank you!
Can’t help on a specific CPA, but equestrian 1099’s are no different from any other business’s 1099’s. Name, Address, Tax ID number, Box 7 for Non-employee compensation. Any CPA or bookkeeper can assist in getting those filed for you (remember the deadline for filing 1099’s is now January 31st!).
Hopefully, someone can throw out a name for the rest of your tax preparation.
Thanks so much. I was under the impression that employers were now required to get 1099s to contractors by January 31st, not that the contractor was required to file by January 31st. My usual CPA is closed until January 2nd. Was hoping to have a horsey CPA so they would better understand certain deductible expenses without extensive explanation (try explaining half chaps vs. breeches and each individual governing body membership to a CPA who has never touched a horse…).
Yes, I am sorry I was not clear. I was referring to the deadline to getting to 1099’s out to the contractors.
I understand. Or how $100 bucks at Walmart for Epsom salts, diapers, and duct tape are necessary barn supplies for soaking hooves!
The reason you need a CPA who is versed farm/ranch tax law and how the laws apply to your operation. There are multiple reasons ranging depreciation schedules for farm and ranches to how to report employees and much more.
A good one will keep you on the right track
By the way, you should meet with your advisers more than just before something is due, planning sessions to set goals should be arranged several times a year to review what is and has occurred to make sure you are heading in the correct direction
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My CPAs have not been ‘equine’ CPAs. They all have been well versed in tax law. The only time I have had to explain a deduction was during an audit. I’ve had the joy of two of those. Won both with no change. One thing you might want to do OP is to obtain the IRS “letter rulings” for hobby vs business. Those rulings are good guides to use as to what is allowed vs disallowed.
CPAs have professional associations. They may be able to provide you with a list for your area.
Displaced Yankee - Your diaper line is my laugh of the morning.
https://www.irs.gov/pub/irs-pdf/i1099msc.pdf
When you pay an individual or a business for services rendered to your trade or business, you should first ask that person to complete a Form W-9, Request for Taxpayer Identification Number. You will need that information in order to file the Forms 1099-MISC. It’s best to get that before you pay, so that you don’t have to go back later to try to get it.
Displaced Yankee has it right–you have to get those out to both the recipients and to the IRS by 1/31/19. Clanter is right too in seeking advice and having a plan in place. Accountants don’t just fill out forms. They can be business advisers, and the best time to seek that advice is before the transaction(s). And TCA’s comment that an accountant does not need to be “equine” is true. You may have to explain why an expense is reasonable, necessary, and ordinary.
