I am am individual who provides IT services to individuals and small businesses, in Illinois. I did work for a client who is unwilling to pay, and I intend to file a small claim against them. I want to make sure I am doing all my business completely legally before I do.
Please tell me if the following assumptions are true:
1. I do not need to be incorporated, have any license or any other formality in order to provide IT services as described above.
2. I don't need to report my earnings if I make less than $600 per client (i.e. if I make $400 from one, and $300 from another, I don't need to report either).
3. If I make $600 or more from a client, I must file a 1099-MISC for money made from that client.
4. There is nothing else I must do to provide IT services as an individual in Illinois.
From the LawyerCentral forum archive. Originally posted 22 August 2010 on a legal forum that has closed. Names and contact details were removed. See the original (Internet Archive).
I do think that a couple of your assumptions are not true. But there are some leniency as there are some work from home based projects. If this is the case that you have been talking in your respect then I would suggest you better be consulting an attorney if you really want to get the better of the company who is not paying.
Answers are reviewed before they appear. They are general information from visitors, not legal advice, and do not create a lawyer-client relationship. Do not include private details.
See attorneys near you who handle questions like this one.