I actually ask some of my clients to send me 1099 and I guess there are not to many providers who are set-up to do this.  Of course the client usually needs to be a self-employed guy but there are ways for even the guy who works for wages to send out 1099's. I wouldn't want all my guys sending me 1099's but I want my tax return to be as legitimate as possible. I have a dba on file and a business license as a self-employed project mgmt consultant.  I handle all types of projects big and small and that leaves lots of room for me to have hung wallpaper to have done research for you,etc.  I'm not sure how the rest of the providers handle tax time but I like to continue to change out autos, and enjoy homeownership, so not filing income tax returns isn't a viable option for me.  You need to be able to show you make some income.

As a practicing tax professional - CPA - for over 30 years with a couple of books to my credit, attempts to write off provider expenses are fraught with problems.  If you can get around the cash payment aspect, you're still dealing with classification of the "consulting" fee.  I have represented some ladies that had 1099s filed (unexpectedly but where they unwittingly accepted checks) - it's always fun to try to explain the income ommission.  In a situation years ago, I actually had an IRS verify the provider's income (when the business client of mine did attempt to take the deduction)and then pull bank statements.  What a fiasco!

Not withstanding input from Dawg and Jacket, but If you pay a consultant under $500 per year, than a 1099 is not necessary and would avoid the need for IRS documentation to consultants with names like: WowNikki; Felecia Foxx; Sensual Ashley or Luscious Laurel. With a $500 cap, this would of course preclude writing off multiple visits to a fav. But hey, you could of course write off the first visit and any one-off visits with other providers. So you guys don't think this sounds legit? Well.... I was recently interviewed for a project at a movie studio (major/large studio) and the female exec that I was there to meet with had a massage scheduled for right after our appointment. No, I didn't exchange massage/escort stories with her but do think that the studio wasn't writing off the in-house masseuse? You bet they are! Yeah, I know, one's considered therapeutic and our type is not, but to most guys who read this board, that knobber received after the FBSM is VERY therapeutic!

Not withstanding input from Dawg and Jacket, but If you pay a consultant under $500 per year, than a 1099 is not necessary and would avoid the need for IRS documentation to consultants with names like: WowNikki; Felecia Foxx; Sensual Ashley or Luscious Laurel. With a $500 cap, this would of course preclude writing off multiple visits to a fav. But hey, you could of course write off the first visit and any one-off visits with other providers. So you guys don't think this sounds legit? Well.... I was recently interviewed for a project at a movie studio (major/large studio) and the female exec that I was there to meet had a massage scheduled for right after our appointment. No, I didn't exchange massage/escort stories with her but do think that the studio wasn't writing off the in-house masseuse? You bet they are! Yeah, I know, one's considered therapeutic and our type is not, but to most guys who read this board, that knobber received after the FBSM is VERY therapeutic! And BTW, who's to say that the female exec didn't O- I've posted in the past what the male stripper/physical therapist says about that.