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Basic 1099-MISC Filing Instructions Business information ? Your Federal Employer ID Number (EIN), your business name and your business address. Recipient's ID Number ? The recipient's Social Security number or Federal Employer ID Number (EIN). Payment Amounts ? Enter amounts paid in the appropriate box:
If you work for a person or a company and earn $600 or more paid to you in cash (again that means paid to you by cash, check, trade, credit card payment?just no taxes taken out) within a year they are required by law to send you a 1099-MISC.
Per IRS guidelines, employers are required to issue a 1099 to independent contractors who earned more than $600 in non-employment compensation in a year by January 31 of the following year. Form 1099-NEC is sent to the worker or business that performed services, as well as to the IRS.
The first tax document required to recruit a 1099 contractor is IRS Form W-9. Businesses use Form W-9 to engage freelancers to obtain details about the worker for tax filings. Upon hiring, a firm should send a fresh Form W-9 to the freelancer to complete and submit.
Who Needs to Get a 1099 Form? Usually, anyone who was paid $600 or more in non-employment income should receive a 1099. However, there are many types of 1099s for different situations.