My wife Jennifer is starting to do her first set of taxes for Audio Lark which is a Canadian company. She has something like 60-70 folks who have received a bit of royalty money. This is a startup, many of these folks received enough cash to get a few cups of coffee, nobody got more than $75 in royalties. I know US portals starting asking me to fill out a form (1080?) for royalty income in the past few years but I don't know why all of this income wouldn't just be considered an expense from Audio Larks POV. She can't Google up an answer, we don't have a local accountant who would be knowledgeable about this topic and she won't be content with the answer I'm giving her which is "they aren't going to come after you over these #'s even if you do get it wrong".
Anybody got advice or a handy link?