How do I issue a subcontractor 1099 form?

[Rukh O'Rorke]

Any advise here?

So - for my Rukh, Inc. I subcontracted out some data work. How do I get a 2019 1099 form? How do I fill it out? is it only on the IRS website - or how does that work?

Thanks!

[TheOtherMe]

Unless things have changed in the last few years, you need the original forms and you can order a small number from the IRS website.

There are also websites that you can pay to file and issue.  Don't know what they cost.

Did you have your subcontractors complete a W-9?  You will need the information from that to complete the 1099-MISC.

Yes, the red copy of the form still goes to the IRS.

Google for more complete information.

[Rukh O'Rorke]

thanks!

[TheOtherMe]

If you are going to order blank forms from the IRS website, do it ASAP and make sure to order a few extra in case of a mistake.  You still send in the form as there are two forms per sheet.

Also order the transmittal.  I think it's a 1096.  It's been a few years since I prepared those for the church where I worked.

Happy to be of help.

[souldoubt]

You can also go to Staples or probably any other office supply store and buy the 1099 Misc packs that come with 3 1096's, quantities of 50/25/12 1099 Misc forms and the Adams software for preparing the forms.  The cheapest pack is like $15 or so.  As far as ordering from the IRS by all means but I would be curious to see how quick they get the forms out to you as 1099 Misc forms with non-employee comp are due to the individuals by January 31st. 

[oped]

www.staples.com/adams-2019-1099-misc-kit-laser-tax-forms-12-pack/product_24403222

[TheOtherMe]

I had usually ordered my forms by now.  Turn around was about 10 business days.

Our small church didn't have enough money to buy forms.  The lack of money is why it closed.  I was not given a choice as to what forms to use.  

Sharing what I did because we had no money.

[souldoubt]

Dec 31, 2019 20:56:38 GMT -5 TheOtherMe said:

I had usually ordered my forms by now.  Turn around was about 10 business days.

Our small church didn't have enough money to buy forms.  The lack of money is why it closed.  I was not given a choice as to what forms to use.  

Sharing what I did because we had no money.

I’m not knocking using free forms at all I’m legitimately curious if someone ordered them through the IRS now how long it would take to receive them. The beginning of the year kicks off tax time for W2s, 1099s and so on. Years ago I had a 1099 question and was on hold for about 3-4 hours before talking to someone who answered my question in under a minute.

[TheOtherMe]

The IRS is severely underfunded and has been for years.  The phone lines were underfunded when I retired 25 years ago.  Even then, long hold times were not uncommon.  If there are no people to answer a question with a short answer, you are on hold.

It's entirely different to order online.  You don't talk to a person.

I agree it's late to be ordering forms online.  I ordered in mid November when I worked at the church and was busy getting the forms issued within the first 10 days of January.  

Don't know the turn around time since it's already January but sending forms and hold times  on the phone are not comparable because it isn't the same people who do the work.  

[jerseygirl]

I use TurboTax home and business. Includes 1099 forms that can be filled out then sent
I do our own taxes after poor experiences with 3 CPAs

[jerseygirl]

I think you need to send 1099 only if you paid person at least $600

[TheOtherMe]

Yes, the amount is $600 for the issuance of a 1099-MISC.  

[NoNamePerson]

Do states still require copy of 1099 sent to them too or is that state and amount specific? I do remember that the state amount here was higher though! 

[Rukh O'Rorke]

Jan 1, 2020 14:26:43 GMT -5 jerseygirl said:

I think you need to send 1099 only if you paid person at least $600

Yeah - I was seeing that! I only paid them 500. So what does that mean?

Can I still deduct it? Do they claim it as income? How does it work?

[TheOtherMe]

Yes, you can deduct it and they are supposed to report it.  

Copies of the 1099 to the state is state specific.  

[NoNamePerson]

Jan 1, 2020 19:28:25 GMT -5 TheOtherMe said:

Yes, you can deduct it and they are supposed to report it.  

Copies of the 1099 to the state is state specific.  

Thanks! I just remember having to submit to state here so thought I would throw it out there for the poster to check out!

[TheOtherMe]

In the two states where I have issued 1099s, no copies went to the state.  I do know there are states that require them and one of the copies is for the state.