Question - 1099 Received from SportHub

[Gekko]

Greg/Tom,

I received my 1099 from SportsHub today. The amount reported to the government is not what I expected. Since others may have the same issue, i'm posting my questions here.

1. I won money in some 2016 NFFC Draft Champions Leagues. I believe that money was paid in 2017 (at least that's what the check says).
Question - Is that money included in my 1099?
Question - If so, were the entry fees I paid for leagues in which I won money deducted from the 1099?

2. I bought a number of NFFC post-season teams in January 2017 for your NFFC playoff contest. I didn't win any money.
Question - Were ALL of my January 2017 NFFC post season entry fees deducted from the 1099?

3. I won money in some 2017 NFBC leagues. All of that money should be included in my 1099.
Question - Were ALL of my 2017 NFBC entry fees deducted from the 1099 or only the entry fees for leagues in which I won money?

4. I won money in some 2017 NFFC Leagues (Draft Champions and Classic regular season).
Question - Were ALL of my 2017 NFFC entry fees deducted from the 1099 or only the entry fees for leagues in which I won money?

5. Can you have accounting provide me with a complete rundown of prizes won by league and each entry fee that was deducted from my 1099?

Thank you.

[Tom Kessenich]

I'll ask accounting about all this Mark

[Gekko]

thanks Tom.

I just added another question a minute ago...

I bought a number of NFFC post-season teams in January 2017 for your NFFC playoff contest. I didn't win any money.
Question - Were ALL of my January 2017 NFFC post season entry fees deducted from the 1099?

thanks again.

[rickerbockerNFBC]

I’m pretty sure only entry fees associated with leagues where cash was won can be deducted from your 1099.

[Gekko]

I’m pretty sure only entry fees associated with leagues where cash was won can be deducted from your 1099.

that has changed. all entry fees will be deducted. i'm just trying to find out what date that was effective.

[Gekko]

Posted by Greg on NFFC boards... http://nffcforums.stats.com/viewtopic.php?f=18&t=16693

"Now let’s give you some more good news and get you caught up on how we report your NFFC earnings from this year. This reporting of income to the IRS may affect the amount of taxable income we report to you on your 1099.

After consulting with tax advisors, we’ll be reporting 1099 income based on the cumulative net method for reporting winnings. This means that you will receive a 1099 for 2017 that will reflect the sum total of all your 2017 winnings less the sum total OF ALL your 2017 entry fees. This tax reporting method is consistent with other fantasy operators in the industry. You should be aware that the IRS has not officially ruled on the preferred treatment of fantasy sports income and losses, and remember it’s always your responsibility to report taxable income accurately on your own tax return. "

[Greg Ambrosius]

Mark, Accounting is looking into this and we should have an answer soon. Hang tight as we definitely want to get this right. We're on it.

[Gekko]

Thanks GREG!

[Dustmite]

I don't think that the day the decision was made should matter... this should go into effect for the whole calendar year, I would think. I, too, have a discrepancy, so I bet that there are more people in this boat.

[CASS]

This should be beyond simple for Accounting to calculate. Just sum total entry fees debited in 2017 less total credit payouts in 2017. Basic math here not sure how this could be interpreted any other way.

[Darik B]

In theory, yes...the kicker being that we are having to individually figure out 2017 NFBC signups (date & amounts) as that was a STATS task...some came in 2016 and some in 2017. It's MUCH more time-consuming & confusing than it sounds due to information transfer.

Long story short...here is what we have found out to date:

1) A good portion of you did NOT have your 2017 NFBC entries deducted. If you did not cash in 2017 NFBC (but did in NFFC and/or NFBKC), you for sure did not have those (NFBC costs) netted against your total.

2). Even if you did cash in 2017 NFBC, if you signed up and/or paid prior to 1/1/17, you MIGHT not have received credit for the cost of those entries.

Please bear with us...Henry and I have been tackling this for 2 straight days now and are making headway. If you would like to discuss with me personally, please feel free to give me a call at 651-895-0583. Otherwise, we will have these corrected 1099's out to those affected within a few days...many of you will benefit greatly with the changes; many will get a letter saying disregard the original 1099 you received.

We apologize up front (well now) for this inconvenience, but because of the conversion from STATS to SportsHub platform, this has proven to be a pretty formidable task that will not happen again.

Again, please feel free to give me a shout if you need more info....thanks.

Darik

This should be beyond simple for Accounting to calculate. Just sum total entry fees debited in 2017 less total credit payouts in 2017. Basic math here not sure how this could be interpreted any other way.

[Gekko]

Darik or Greg/Tom,

I'm trying to submit my taxes this weekend; however I have a question about the revised 1099 I received from SportsHub. While the dollar amount is correct, the box at the top of the 1099 to denote this as a "CORRECTED 1099" is NOT checked.

I am VERY concerned that the IRS will consider the second 1099 as an additional one and expect that I declare the sum of the the incorrect 1099 and the correct 1099. If this is what the IRS is expecting, this will undoubtedly not match what I'm reporting and will delay the processing of my return and could open me (and other NFBCers and SportHub) up to a full-blown audit.

Can someone confirm with accounting that the 1099's were processed correctly and that SportHub did not overstate the amount of money I won?

[Greg Ambrosius]

Darik or Greg/Tom,

I'm trying to submit my taxes this weekend; however I have a question about the revised 1099 I received from SportsHub. While the dollar amount is correct, the box at the top of the 1099 to denote this as a "CORRECTED 1099" is NOT checked.

I am VERY concerned that the IRS will consider the second 1099 as an additional one and expect that I declare the sum of the the incorrect 1099 and the correct 1099. If this is what the IRS is expecting, this will undoubtedly not match what I'm reporting and will delay the processing of my return and could open me (and other NFBCers and SportHub) up to a full-blown audit.

Can someone confirm with accounting that the 1099's were processed correctly and that SportHub did not overstate the amount of money I won?

I talked with Accounting on Friday and that doesn't need to be checked. They never submitted the first 1099s, so it's really not corrected. It's okay the way it is. Hope that helps.

[Gekko]

Darik or Greg/Tom,

I'm trying to submit my taxes this weekend; however I have a question about the revised 1099 I received from SportsHub. While the dollar amount is correct, the box at the top of the 1099 to denote this as a "CORRECTED 1099" is NOT checked.

I am VERY concerned that the IRS will consider the second 1099 as an additional one and expect that I declare the sum of the the incorrect 1099 and the correct 1099. If this is what the IRS is expecting, this will undoubtedly not match what I'm reporting and will delay the processing of my return and could open me (and other NFBCers and SportHub) up to a full-blown audit.

Can someone confirm with accounting that the 1099's were processed correctly and that SportHub did not overstate the amount of money I won?

I talked with Accounting on Friday and that doesn't need to be checked. They never submitted the first 1099s, so it's really not corrected. It's okay the way it is. Hope that helps.

THANK YOU GREG

[Darik B]

This is correct for everyone. The first 1099 was never sent to the IRS, and that is why the second one did not have the box checked. It was the only one the IRS received from, so it would not expect to see the "box" checked. Sorry for any confusion.

D

Darik or Greg/Tom,

I'm trying to submit my taxes this weekend; however I have a question about the revised 1099 I received from SportsHub. While the dollar amount is correct, the box at the top of the 1099 to denote this as a "CORRECTED 1099" is NOT checked.

I am VERY concerned that the IRS will consider the second 1099 as an additional one and expect that I declare the sum of the the incorrect 1099 and the correct 1099. If this is what the IRS is expecting, this will undoubtedly not match what I'm reporting and will delay the processing of my return and could open me (and other NFBCers and SportHub) up to a full-blown audit.

Can someone confirm with accounting that the 1099's were processed correctly and that SportHub did not overstate the amount of money I won?

I talked with Accounting on Friday and that doesn't need to be checked. They never submitted the first 1099s, so it's really not corrected. It's okay the way it is. Hope that helps.

[Gekko]

thanks darik.

[mother]

Since tax day is coming up quick (Tuesday April 17 this year), I am pinging this dialogue from January to the top of the queue.

One question that is not resolved by this thread: is there a way one can check which of the two 1099's that were sent is the second ("correct") one?

Thanks!

Michael

[Greg Ambrosius]

Since tax day is coming up quick (Tuesday April 17 this year), I am pinging this dialogue from January to the top of the queue.

One question that is not resolved by this thread: is there a way one can check which of the two 1099's that were sent is the second ("correct") one?

Thanks!

Michael

Sure email me at [email protected]. Give me your name and the two figures.