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J
jpablochong0
March 25, 2021
Question

I didnt file a 1099 for a contractor job

  • March 25, 2021
  • 1 reply
  • 0 views
2 jobs done in 2020, paid contractors in cash

1 reply

G
gloriah5200
March 26, 2021

if you paid $600 or more to someone to do work for you, IRS says you are supposed to issue 1099-NEC (starting in 2021) as nonemployee compensation.

 

If you pay the money in cash and do not issue the 1099 when required to do so, IRS could keep you from being able to deduct the money paid out as a business expense by disallowing the deduction on your business return.

 

As always, you are required to have the ssn and personal information of the contractor you paid, whether you paid him/her in cash or check.

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