Bad timing = Bad Consequences

[ILLMAS]

TP did some work back in 2010 (Sch C, cash basis) and didn't get paid until 2015, however in 2014 he retired from the railroad and has received a letter (applies to 2015) stating they are going to adjust his retirement because of the income.  Here is the funny part about it, he has not filed his 2015, but the company that owed him the money sent him a 1099 in 2015 and the retirement board already found out.  Would a letter to the railroad retirement board explaining the problem resolve the issue?

 

 

[FDNY]

It's my understanding that the RRB computer system like SS's is tied in with the IRS', that's probably how RRB picked up the 1099 before filing.  Depending on Casey Jones' circumstances, ie. disability pension, early retirement, early age there is probably a reason why they will adjust retirement benefit for 2015 due to the income, possibly over a certain limit.