Are you giving the appropriate vendors and service providers 1099s for their services?
With the end of 2014 looming, your business is coming into the season of IRS deadlines. One of the annual deadlines is the filing of 1099s. We commonly answer questions about who should receive a 1099, and often find businesses don’t send out all the forms they should have each year. Let’s look at 1099MISC forms. These are for non-employee compensation, and are by far the most common Form 1099 issued each year.
So how do you know who should and shouldn’t receive a 1099MISC from you? Here are some tips:
- Did you pay them more than $600 for the entire year? If not, no 1099 is required
- The person being paid can’t be an employee
- 1099Misc forms are only used for payments in connection with services, and not goods
- Is the payee a corporation? If so, no 1099 is required unless one very few exceptions such as medical or healthcare payments are paid – even LLCs should receive 1099s
Recipients must receive their 2014 Form 1099s before February 2, 2015. The employer copies must be post-marked by March 2, 2015 if filing by paper, and March 31, 2015 if e-filing.
You can purchase form 1099s at office supply stores, or you can order multi-part copies from the IRS here: http://www.irs.gov/Forms-&-Pubs
Check out this video on how to order forms from the IRS for your business:
[youtube_video] uk_h-JlPJGc [/youtube_video]
If you need any additional assistance with your 2014 Form 1099s, contact us to learn more about how we help clients stay ahead of their IRS filing requirements each year via phone at (623) 505-5945 and via email at email@example.com.
Not sure if your business is missing anything for year-end to close the books, account for non-recurring transactions, or file any annual returns that may be required? Enter your email address and receive a copy of our year-end checklist that will walk you through preparing your business to close 2014 and start 2015 fresh.