Filling 1099
Filing federal tax returns not only involves reporting your income; some special expenses/payments are also to be reported. One such expenditure is payment made to independent contractors. Form 1099 has to be filed reporting such payments only. There are different variants of form 1099, which specify twenty different types of expenditures to be reported.
Understanding the type of expenditures for which form 1099 has to be filed is not very simple. There is a list of such expenses, and certain conditions are also there. To avoid any mistakes and file these forms correctly, subscribe to our services. EZCorporates will make it easy for you.
A number of forms: Form 1099 is available for reporting different expenditures. Various form 1099 have to be filled depending on the nature and amount of expenses such as:
- FORM 1099 NEC
- FORM 1099 MISC
- FORM 1099 A/B/C
- FORM 1099 DIV
- FORM 1099 PATR etc.
Each form has different details to be filled in; also, the preconditions are different for each form.
EZCorporates will assist you in finding out which form you have to file. Book an appointment on call/email with us to know the same.
When do you need to file?: Every variant of form 1099 specifies different conditions. When the conditions are fulfilled, you need to file that form. Some conditions are:
- Payment to a specific person above a specific amount.
- Withholding of tax
- Nature of business entity you are
- Nature of entity the payee is, etc.
It is better to consult professionals rather than filling the wrong form. So, subscribe to our services and ensure that correct form and accurate information is being filed.
Understand the latest changes: There are often changes in the contents of the forms, and you should fill them according to the latest amendments in the rules. Like form 1099 MISC and form 1099 NEC have been changed this year, but if you want to be sure regarding the correct filing of forms, contact us.
At EZCorporates, we ensure that the forms are filled according to the provisions applicable to you.
Why EZCorporates?
EZCorporates has a solution to all your queries; be it tax-withholding, payments, return filing, form-filling, tax consultancy, etc.
Applicability of forms with precision: We understand all the available types of forms, and thus we ensure that the correct form is filed for you. It ensures that neither you nor the payee faces any difficulty in the future. Also, we make sure that there is actually a need to file the form or not.
Proper knowledge of documentation: We help you understand what details and documents you must have before making the payments. These details and documents are necessary while filing the Forms. And to avoid the last-minute rush, we ensure that you have these details beforehand.
Correct information: The details you fill in the form also affect the payee. What you pay is definitely the income for him, and therefore, you should file it accurately. To avoid the problem for both, it is advisable that you maintain proper information and ensure accurate filing of the form.
You will not miss the deadlines: You are required to file form 1099 before February. We ensure that you never miss the deadline so that there is no need to pay penalties. Also, there is a requirement to furnish the form to the payee and IRS as well. Both of these should be on time. We ensure that you do both on time without any delay.
FAQs
Is it mandatory to file form 1099?
If you fulfill the specified conditions, then it is mandatory for you to file your Form 1099.
What if I fail to file the required form?
The payee would also ask for a copy of form 1099, and a penalty would also be levied on you. A heavy penalty depending on the number of days of delay will be levied.
Subscribe to our services to avoid missing the filing of the form before the deadline.
Which form do I need to file if I have a small business?
The form you need to file depends on: the type of expenditure you incur and the amount of payment you make. It is irrelevant whether you have a small business or a big one.
Contact us to ensure that you are filing the correct form for your payments.
What details do I need to file the required form?
You must know:
- Nature of entity of the payee
- His tax identification number
- Amount of payment made
- Tax withholds etc.
Other specific information may also be needed depending upon the form you are filing. You can contact us to know in detail what information is needed for various forms.
What are the due dates to remember?
Different due dates have been specified for various purposes like handing over recipient copy, IRS e-filing, or paper filing. But commonly, the earliest of all is the first day of February.
To know more about different due dates, penalties, form types, and rules, book your appointment on call/email.