1099 year-end reporting consists of printing and mailing 1099 forms to contractors who meet the $600 threshold and reporting this information to the IRS by January 31 of each year. This date is subject to change, so be sure to visit IRS.gov each year to confirm the due date. Similar to a W2 form for an employee, the 1099 form includes the amount you have paid to a contractor within the calendar year. This form is used by independent contractors to report their earnings for the year on their tax return. Failure to provide this information to the IRS and the contractors could result in fines and penalties.
When you are ready to generate 1099 forms, the process to do this is very simple. First, you review the accuracy of your information and the basic contact information for each contractor. Then, you review the payments that have been flagged as 1099 payments. If this information is correct, you can have Intuit process your 1099 forms electronically for a fee...