Form 1099-MISC (2017)

What is the 1099-MISC Form?

A 1099-MISC Form is a federal form that is filled by independent contractors to report about the number of received taxable payments from businesses and persons. This form is called to minimize underreporting of self-employed workers. The applicant should accompany the form with an official business name, address, Social Security number, and the TID (Tax ID) from the IRS W-9 Form. Miscellaneous income from the 1099 and 1040 tax return forms is required as well.

What I need the 1099-MISC Form for?

1099-MISC Form:

• Is required by the IRS;
• Must be provided to the IRS in case your business made payments independent and freelance workers in a total amount of at least $600 over 12 months;
• Is necessary if tax-exempt interest, royalties, and broker payments, or dividends above $10 were paid.

Your company must forward the form to an independent contractor not later than January 31 of the current tax year. If you are an individual, submit the form directly to the IRS by February 28. Electronic submission works from February 28 to March 31. Time periods of other destinations should also be respected.

Filling out 1099-MISC Form

The 1099-MISC Form collects the basic set of information about the company, including a valid tax ID number, and head office address. The independent contractor has to identify the name, provide an ID, SSN, and personal information. Pages 5 and 7 of the form include additional instructions for filling every section of the form. The filled form is processed by a number of organizations, including the IRS, state tax department, and several more. Every destination must receive a copy of the form within the established period.

Organizations that work with 1099-MISC Form

• IRS (Internal Revenue Service);
• State Tax Department;
• Other required establishments.