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Lev
Lev, Tax Advisor
Category: Tax
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Experience:  Taxes, Immigration, Labor Relations
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as a consultant - I am paid a month late. So I just got notified

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as a consultant - I am paid a month late. So I just got notified that my invoice for November will be paid on January 6th. DO I have to claim this as income in 2011 - or let it go to 2012 tax return?
Submitted: 5 years ago.
Category: Tax
Expert:  Lev replied 5 years ago.
Hi and welcome to Just Answer!
Assuming you are cash basis taxpayer - as most of us are - your income is recognized when it is paid.
Thus - income paid on Jan 6, 2012 is included into 2012 tax return - not in 2011 tax return.
Same for CA state - that income is reported on 2012 tax return.

Let me know if you need any clarification.
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