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1099

   Also found in: Wikipedia 0.01 sec.
1099
A statement sent to the IRS and taxpayers by the payers of dividends and interest and by issuers of taxable original issue discount securities.

1099
A form that payers of dividends send to payees and to the IRS declaring the dividends, interest, and similar payments made to the payees in a given tax year. Taxpayers report income listed on a 1099 on their 1040 forms when calculating their tax liabilities.

1099

The IRS form for reporting payments made to independent contractors or interest earned on investments or bank accounts. The person completing the form supplies copies to the party receiving the payments and to the IRS and state and local taxing authorities.If one's tax return does not disclose income reported on a 1099, there is a high likelihood of an audit. Real estate agents typically receive 1099s from their brokers for commissions earned during the prior year.



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The place to start is with a 1099 independent contractor contract, signed by both you and the contractor you hire.
Automate the process by establishing and activating a free account with a 1099 filing service.
White Team: Government Accountability Office: Strategic Issues Phone: (202) 512-5594 Matters for Congressional Consideration ---------- Recommendation: To simplify the burden that the corporate exemption places on payers to distinguish payees' business status and also provide greater information reporting, Congress may wish to consider requiring payers to report payments to corporations on the form 1099 MISC, as we previously suggested and as proposed in the Bush Administration's budget.
 
 
 
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