How Can We Help?

1099-MISC/ 1099-NEC Preparation

1099 form preparation is separate from your monthly bookkeeping service.  Because many of our clients complete their forms via their tax preparer or payroll service provider, we only offer this service upon request.
Below is some important information to make sure that your business remains in compliance:

 

Who Do I Need to Send a 1099 form To?

Any individual, company, contractor, vendor, etc. that you paid $600 or more to throughout the year in your business. This can include payments for rent, services, prizes, legal services, etc. Any personal payments you made are not reportable.
There are also some exceptions where you may have paid a person or company $600 or more but are not required to issue a 1099-MISC to them. Those exceptions include:
  • Payments to C or S Corporations
  • Payments for merchandise, freight, or storage
  • Payments of rent to real estate agents or property managers.
  • Payments made via credit card, debit card or third-party payment service such as PayPal
  • Payments made to employees — These would be reported on a W-2 instead
Note: The C or S Corporation exception does not apply for payments to attorneys.

 

What do I need to do?

  • Collect W-9 forms for all vendors, it is best to get this before you start paying them.  There is no need to wait until the end of the year. Not sure if a contractor will need a 1099?  Get them to fill out a W-9 anyway, better to have it and not needed than scrambling to get it at the last minute.  Click here to learn more about how to collect this information.
  • Make sure that all of the payments for the year have been entered in the books, including cash payments, double-check to be sure that the payee is filed out with the correct vendor’s name.

 

When do I need to provide this information to you?

The information will need to be received by 5 pm Eastern on our deadline to ensure that your forms are completed and filed by the January 31st IRS deadline.  Please check your email in December or email us to inquire about the current year’s deadline.
A rush fee will apply if we don’t get all of the information by this date. We are not responsible for any penalties you may incur if you don’t provide us with the information by our deadline.

 

How much does it cost?

There is a per-form fee that depends on the number of forms to be prepared .
This fee includes:
  • E-file to the IRS & SSA
  • E-delivery to recipients (optional)
  • Printable PDFs for you to mail to your recipients and keep for your records
  • Printing and mailing the form to your recipients is optional and will incur a separate fee if requested.

Some states require the separate filing of 1099 forms, a nominal fee applies for forms that need to be filed with such states. Please contact us if you want a specific estimate.

Table of Contents