Hard to believe we are approaching the end of another year! For businesses this means many year-end tasks will need to be completed including making sure you are ready to issue 1099s to your vendors.
Make sure you get those W-9s!
Before you pay individuals or entities for services provided throughout the year, you should obtain a W-9 from them. This will give you the information you need to prepare your 1099s come year-end. If you have not obtained these forms throughout the year, it is not too late! This does create more work at year-end when you are up against the 1099 filing deadline, however it is necessary for completing your 1099 forms.
Visit the Resources section of our website to download this form.
Per the 1099 instructions you must issue a 1099-MISC form to those who you paid at least $600 for Rents, services (performed by someone who is not your employee), and payments to an attorney. These are only the most common categories, please reference the instructions for an inclusive list.
Visit the IRS website for more details: https://www.irs.gov/pub/irs-pdf/i1099msc.pdf
Accounting software is helpful when preparing 1099s for your vendors. The IRS requires that these forms be provided to the recipient by January 31st of the following year and the IRS copy must be filed by the last day of February. Some software will allow you to print the forms on blank paper however, the pre-printed forms can be ordered from the IRS or purchased from an office supply store should you need them. Contact your accountant for further information on preparing and filing these forms.
Holdsworth Chadd Fuller CPAs uses state of the art technology to prepare 1099s and e-file with the IRS taking the burden off their clients. If you are interested in having us prepare and file your 1099s please contact us.