Independent Contractors: Have You Checked Your 1099s?

Businesses are required by law, to send 1099-MISC forms to independent contractors (non-employees) to whom they paid $600 or more in a calendar year. These forms are due to the contractors by the end of January of the following year, and to the IRS by the end of that...

More on the 1099 Question from Intuit’s Little Square

“Starting with tax year 2011, you will not report payments you made to vendors using these methods: Credit cards Debit cards PayPal (and similar payment services) You will continue to report payments you made to your 1099 vendors using these methods: Cash Checks...

New 1099 Regs – Online Bill Pay is still reported on a 1099-MISC

I got off the phone with the IRS and have an answer: online bill pay is still 1099-MISC, not 1099-K. This is very good news as it uncomplicates things a bit if you have paid contractors partially with regular checks and partially with online bill pay.. The IRS, in...