How do I report payment advance for a work if the expenses will be for next fiscal year? My income account increase to much . I don want to pay to much taxes.

Just close this contract at the en of the year 2017. They give a payment in advance and gave me a 1099.All the expenses for that work will be made in this year. How handle this transaction to don’t pay taxes over that advance.?


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If your business is a "cash basis" business, you report it all in the year you receive the income.  It doesn't matter when the expenses are made.

If your business uses a different type of Accounting Method, it depends on what Accounting Method you use.

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TaxGuyBill , (◉͜ʖ◉), EA, TBCOAES, WTHDAOTLRM

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