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1099 Filing Requirements

December 29, 2014


If you make certain payments in the course of your trade or business, you may be required to file Form 1099-MISC with the IRS. A trade or business is any activity carried on for gain or profit and may include farming, timber activities and rental activities.

Form 1099-MISC is required to be filed for any single recipient with aggregate payments of at least $600 for rents or services. Recipients include individuals as well as partnerships and LLC’s. Corporations are generally excluded; however, payments to corporations for attorney fees or medical and health care payments must be reported. Services include contract labor, attorney fees, accounting fees, repair services, and lawn maintenance just to name a few.

A payment is not required to be reported if it is made using a credit card, debit card, or a qualified third party network.

To ensure that businesses are complying with this requirement, the IRS has the following two questions on all income tax returns:

  1. Did you make any payments in 2014 that would require you to file Form 1099?
  2. If yes, did you or will you file all required Forms 1099?


Please consider these questions carefully in determining your Form 1099 filing requirements for 2014.

Form 1099 is required to be provided to each recipient by February 2, 2015. Copies are also required to be filed with the IRS by March 2, 2015 along with Form 1096.

Penalties apply for failure to file required Forms 1099.