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Business, 01.04.2021 16:30 ChooseHappy

Josh and Michael are related for tax purposes. Josh is self-employed and has an accrual-basis sole proprietorship. Michael is a cash-method taxpayer. Josh hired Michael to help him complete a construction project. At the end of the year, Josh owed Michael $700 for work performed during December. Josh paid Michael the $700 on January 2. When will Josh be able to deduct the wage expense and when will Michael have to include the $700 in gross income

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Josh and Michael are related for tax purposes. Josh is self-employed and has an accrual-basis sole p...
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