Cisco & Co CPA

  • HOME
  • SERVICES
    • ACCOUNTING
    • PERSONAL FINANCIAL PLANNING
    • BUSINESS FINANCIAL PLANNING
    • CHIROPRACTIC ACCOUNTING
  • WHY US
    • STAFF
  • FINANCIAL RESOURCES
    • DOWNLOADABLE FORMS
  • CONTACT US
CONTACT US

Make Preparations for Form 1099s This Year

A 1099 tax form.
Monday, 01 February 2021 / Published in Business, Financial Planning, Tax Tips & Information

Make Preparations for Form 1099s This Year

Here are three tasks to consider that will make meeting your business’s information reporting requirements less stressful this tax season.

Review your general ledger. 

Even if you’ve already identified 1099 vendors in your payables system, review current year expenses to make sure no new or infrequent payments have been overlooked. For example, it’s easy to forget that fees totaling $600 or more paid to service providers must be reported on a Form 1099. But be careful! There is a new form this year, Form 1099-NEC. Be sure to know whether you should use the existing Form 1099-MISC or the new Form 1099-NEC.

Verify vendor information. 

Check your files for up-to-date Forms W-9, the form you use to request a vendor’s federal taxpayer identification number (TIN). In general, you should have Form W-9 on file for each vendor who provides services, even if the transaction is a one-time event. Why? Filing mismatched 1099 forms – where the combination of name and TIN do not match IRS records – will result in a notice, and possibly penalties. To avoid problems, consider signing up for the TIN Matching Program, an online service run by the IRS, so you can verify identification numbers prior to filing 1099s.

Order forms.

 If you plan to file paper forms this year, the copy you mail to the IRS must be on forms preprinted with scan-friendly ink. You’ll also need Form 1096, the annual summary, for each type of information return you file.

As always, should you have any questions or concerns regarding your tax situation please feel free to call.

What you can read next

final notice bill
Tips on Monitoring Your Accounts Receivable
piggy bank with graduation cap next to books, calculator and a magnifying glass
Education: Tax Changes You Need to Know
Man handing out cash
New Overtime Rule May Mean More of Your Employees Qualify For Overtime Pay

Recent Posts

  • Person giving an online business review.

    Handling Negative Online Reviews of Your Business

    Here are some ideas on handling those pesky onl...
  • Graduation cap sitting on a pile of money.

    Student Loan Forgiveness Q&A

    While there may be legal and Congressional chal...
  • Person sitting on the floor holding a calculator paying their bills.

    Taming Monthly Bill Creep

    Paying bills is inevitable, but paying too much...
  • A social security card laying on a pile of money.

    Tips to Protect Your Social Security Number

    Very few things in life can create a higher deg...
  • Electric vehicle charging

    New Electric Vehicle and Other Energy Credits

    Tax incentives for purchasing clean (electric) ...

Categories

  • Announcements
  • Business
  • Financial Planning
  • Personal
  • Retirement Plans
  • Tax Tips & Information
  • Uncategorized
  • Wealth Management

Schedule your 1-to-1 financial planning consultation today!

Visit our Office

Get Directions

Speak with a Staff Member

419.629.3494

Contact Us

Send A Message
Cisco & Co CPA

Mark J. Cisco & Co, Ltd.

419.629.3494

419.629.2444

Hours:

  • Monday: 8:30AM - 4:30PM
  • Tuesday: 8:30AM - 4:30PM
  • Wednesday: 8:30AM - 4:30PM
  • Thursday: 8:30AM - 4:30PM
  • Friday: 8:30AM - 4:30PM
  • Saturday: CLOSED
  • Sunday: CLOSED

5030 State Route 66
New Bremen, OH 45869

PO Box 114
New Bremen, OH 45869

  • HOME
  • SERVICES
  • WHY US
  • FINANCIAL RESOURCES
  • CONTACT US

PAYROLL PORTAL

SIGN IN

FOLLOW US!

Copyright © 2021 Mark J. Cisco & Co, Ltd.   |  Website design by Marketing Essentials, LLC   |   Privacy Policy | Site Map

TOP