Top 5 Mistakes To Avoid When You E-file Form1099 Nec Online For Ty 2021

For the tax year 2021, the IRS will continue to use the relatively new Form 1099-NEC to enforce its filing requirements. Traditionally, businesses have used Form 1099-MISC – Box 7 to report nonemployee’s compensation. Now, you may need to use both 1099 forms and follow their unique specifications. If you are involved in a business, you must file IRS Form 1099-NEC to report any nonemployee compensation of $600 or more. Nonemployee compensation includes fees, commissions, prizes, awards, and any other forms of compensation for services performed by someone who is not classified as an employee.

You May Interested More: