Am I Required to File Form 1099 or Other Information Returns?
Here’s the short answer:
You are not required to file information return(s) including 1099’s if any of the following situations apply:
- You are not engaged in a trade or business
- You are engaged in a trade or business and the payment was made to another business that is incorporated, or the sum of all payments made to the person or unincorporated business is less than $600 in one tax year (unless the recipient is an attorney or law firm, see specific instructions for 1099-MISC for further details)
If You MUST File Form 1099’s, Here’s What You Need To Do:
- Call Steve Mangione CPA your Orange County Accounting and Tax specialist.
- We’ll answer your questions
- We’ll print out the forms for you to mail to your vendors, (or we can mail)
- We’ll e-file the Form 1096 Annual Summary and Transmittal of U.S. Information Returns to the IRS
What Is the Due Date for Mailing 1099’s to Vendors?
- Form 1099-MISC is due to recipient on last day of January when you are reporting nonemployee compensation payments in box 7
- Last day of February
- File Form 1098 on paper by February 28, 2017, or March 31, 2017, if filing
electronically through the FIRE system
NOTE: If the regular due date falls on a Saturday, Sunday, or legal holiday, file by the next business day. A business day is any day that is not a Saturday, Sunday, or legal holiday.
If You Want To Create and Send Form 1099’s To Your Vendors and the Information Return Form 1096 To the IRS Yourself, Here’s What You Need To Do:
- Order the forms directly from the IRS for free. IRS Order Form
- Buy the forms from your local office supply store. You’ll be able to print form on your inkjet or laser printer. Some forms comes with free templates
(TIP – Buy early they sell out early January)
- Request each vendor fill out IRS Form W-9
- Make sure you only include vendors that you paid over $600
- Certain vendors require you put the dollar amount in a different box and there are multiple 1099’s i.e. 1099-MISC | 1099-INT or the most common for trades and businesses
- You do not have to send a 1099 to corporations
- Fill out Form 1096 and mail to the IRS