Backup! Backup! Backup!

June --

I'm a Brooklyn, NY muscian - filing as self-employed for about 5 years.

I have been filing with the IRS as self-employed but for 2008, records of my gigs and how much they pay got destroyed as they were on my hard-drive and I didn't have a paper copy. What are my options?

Thank you!
Jeremy


Hi Jeremy,

First, make sure that you have proof of the hard-drive's destruction. Then go about reconstructing your life for 2008.

For instance, printout a page from a club's website where you played. Estimate your income. Ask the guys you played the gigs with for any records they have. If the clubs advertise in print get copies. Go take pictures of the clubs. Use the previous or following year as a guide.

For expenses, ask your credit card companies for back statements. Do the same with your bank.

Very important to know for you and all indies: Something logged in a computer -- in Word or Excel, or Quicken -- is not proof to the IRS. Any just slightly clever person can make the records say anything he or she wants them to say. You must have proof. Documents. The document can be on computer but it must be something that proves income or an expense -- cancelled check; credit card receipt; store receipt.

-- June