The end of a year and the start of another are always busy times for companies. You’re trying to get business off to a good start in the new year, you’re trying to close the books on the prior year, and you have to prepare and file 1099 forms by the end of January.
Every trade or business must file 1099 forms for each year that certain payments are made to noncorporate recipients. A Form 1099 is generally not needed for payments to corporate vendors other than attorneys and corporations providing medical and health care services.
The two most common information returns for most small businesses are Forms 1099-INT and 1099-MISC. Interest paid in the course of a trade or business is reported on 1099-INT when the amount paid totals $600 or more to any payee. The 1099-MISC is used to report payments of rents or services of $600 or more in any one year to a payee.
See us for assistance with 1099 filing and requirements.
Tags: 1099 reporting
Written by: Doug Rodrigues