Issuing 1099-NECs
Required for payments to unincorporated contractors of $600+ during the year. Get the contractor's W-9 before paying; issue by January 31 of the following year.
Receiving 1099-NECs
Report on Schedule C (sole proprietor) or Schedule C of Form 1120-S (S-corp) or relevant partnership schedule. All income is reportable whether or not a 1099 was issued.
Common questions
- What if the contractor is an S-corp or corporation?
- No 1099-NEC required for payments to corporations (with narrow exceptions for legal and medical payments, which do require 1099-NEC regardless of entity).
Related
Personal Income Tax Preparation
Federal and state 1040 preparation with year-round planning. We handle W-2, 1099, K-1, rental, and crypto income for individuals in Florida and all 50 states.
Monthly Bookkeeping
Monthly, quarterly, and annual bookkeeping with bank reconciliations, a profit-and-loss report, and balance sheet within ten business days of month-end.
Filling Out a Form W-9
A W-9 gives a payer your name, tax classification, and SSN or EIN to issue a 1099. Refusing or providing a wrong number triggers 24% backup withholding.