What is it?
The 1099-MISC form is used for reporting payments to non-employee service providers, also known as independent workers, including contractors, freelancers, consultants and others. It is the most common 1099 form.

Who Are Required to File 1099-MISC Forms?

Any business that pays to non-employee service providers must secure a 1099-MISC form.

Where Should 1099-MISC Forms be Filed?

1099-MISC forms must be filed to the IRS

When Should 1099-MISC Forms be Filed?

Recipients of 1099-MISC forms must be mailed by January 31. E-filing with the IRS must be done by March 31 every year.

Why File 1099-MISC Forms?

It is important to file 1099-MISC forms to report payments to independent workers or non-employee service providers.

In General:

A 1099-MISC form is similar to the W-2 form which is being filed by employees. However, a 1099-MISC form must be filed by an independent contractor and completed for non-employees that are getting paid $600 or more, annually.

Non-employees or independent workers, include but not limited to:

  • Web developers
  • Graphic designers
  • Freelance writers
  • Cleaning professionals
  • Landscaping professionals
  • Self-employed individuals

Types of Payments Also Covered by the 1099-MISC:

  • Royalties with a minimum of $10  (including payments to authors, musicians and artists)
  • Broker payments instead of dividends or tax-exempt interest, with a minimum of $10.
  • Office space and machine rentals
  • Prizes and awards received
  • Services, inclusive of parts and materials used
  • Fees for medical and health care
  • Payments made in cash to fishermen
  • Proceeds from crop insurance
  • Attorneys fees


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