MyVirtualCPA : Thanks for asking your question! I'm sorry to hear about your tax issue and I'm going to try my best to help you understand or resolve it.
MyVirtualCPA : You would owe tax on this the first year you got the check.
MyVirtualCPA : You will need to show the IRS that you only received the amount once, perhaps by showing the correspondence you had with the gas company where you asked for a check to be reissued.
MyVirtualCPA : Income averaging is disallowed.
MyVirtualCPA : You pay tax on income when you have access to it. You had access to this first four years ago
MyVirtualCPA : Is there anything else that I can assist you with today? If not, please rate my response Excellent so that I may receive credit for assisting you today
Customer: Very helpful. Is it possible to get 1099's re-issued with corrections? And is the company required to do so if requested? There was no correspondence with the gas company, as it was done by phone. Thanks.
MyVirtualCPA : You can get a 1099 corrected. They will send the 1099 form to the government, and check the box which says "corrected" - however there's no requirement that they do this. It's just good business practice.
MyVirtualCPA : Is there anything else I can help you with today?