Form 1099-MISC Miscellaneous Income – 2010 Tax Year Guide

Form 1099-MISC is the tax form businesses and individuals use to report various types of miscellaneous payments to the IRS. Think of it as a report card for income that doesn't come from regular wages—like rent you paid to a landlord, fees you paid to an independent contractor, or royalties you paid to an author. If you paid someone $600 or more during 2010 for certain services or income (or just $10 or more for royalties), you likely needed to file this form.

What the Form Is For

Form 1099-MISC serves as the IRS's way of tracking income that falls outside the traditional employer-employee relationship. Businesses, landlords, nonprofits, and even government agencies use it to report payments made during their trade or business activities. The form helps ensure that people who received these payments report them as income on their tax returns.

The 2010 version reports numerous types of payments across different boxes on the form. Common scenarios include paying rent to a property owner (Box 1), paying royalties to copyright holders (Box 2), compensating independent contractors for services (Box 7), or reporting gross proceeds paid to attorneys (Box 14). The form also covers less common payments like fishing boat proceeds, crop insurance proceeds, medical and healthcare payments to providers, and even prizes and awards.

It's crucial to understand that Form 1099-MISC is only required for payments made in the course of your trade or business. Personal payments don't need to be reported. For example, if you personally hired someone to paint your house, you don't file a 1099-MISC. But if your business hired that same painter, you would need to file one if you paid $600 or more.

When You'd Use This Form (Including Late or Amended Filings)

For the 2010 tax year, the standard filing deadlines were straightforward but varied depending on what you were reporting. You needed to furnish Copy B to the recipient (the person who received the payment) by January 31, 2011. However, if you were reporting substitute payments in lieu of dividends or interest (Box 8) or gross proceeds paid to attorneys (Box 14), the recipient deadline was extended to February 15, 2011.

For filing Copy A with the IRS, the paper filing deadline was February 28, 2011. If you filed electronically, you had until March 31, 2011—giving you an extra month. Electronic filing was required if you filed 250 or more information returns of any single type.

Late Filings and Corrections

If you missed the deadline or discovered an error after filing, you could file a late Form 1099-MISC at any time, though penalties might apply depending on how late you filed. The penalty structure in 2010 worked on a sliding scale: filing within 30 days of the deadline resulted in smaller penalties than filing months later or not filing at all.

To correct a mistake on an already-filed form, you'd file an amended Form 1099-MISC by checking the “CORRECTED” box at the top and completing the form with the correct information. You'd also need to provide a corrected copy to the recipient. Common reasons for corrections included wrong amounts, incorrect taxpayer identification numbers, or reporting income in the wrong box.

Key Rules for 2010

Several important rules governed Form 1099-MISC reporting in 2010.

Payment Thresholds and Reporting Boxes

The $600 threshold applied to most payment types—rents, services, prizes, awards, other income, medical payments, and nonemployee compensation.
Royalties and broker payments in lieu of dividends required only a $10 threshold.

The form distinguished between different types of income across 18 numbered boxes. Getting the payment in the correct box mattered because the IRS used this information to verify that recipients properly reported their income.

Corporate Exemption Rules

Generally, payments to corporations didn’t require reporting. However, exceptions included:

Medical and health care payments (Box 6)
Attorneys’ fees (Box 7)
Gross proceeds to attorneys (Box 14)
Substitute payments in lieu of dividends or interest (Box 8)

Federal executive agencies also had to report payments to corporate vendors for services.

Backup Withholding

Backup withholding at 28% applied when recipients failed to provide their taxpayer identification number (TIN) or the IRS notified you that the recipient provided an incorrect TIN. Report any withheld amounts in Box 4.

New for 2010: TIN Truncation

A privacy enhancement allowed truncating TINs on payee statements (showing only the last four digits). However, full TINs were still required on the IRS submission copy.

Step-by-Step Filing Process (High Level)

Filing Form 1099-MISC follows a logical sequence that begins well before the end of the tax year.

Step 1: Collect Information Throughout the Year

Use Form W-9 to collect recipient details and TINs early. Keep records of all payments made.

Step 2: Determine Who Needs a Form

After the year ends, identify all recipients meeting the $600 threshold ($10 for royalties). Exclude payments to corporations unless exceptions apply.

Step 3: Obtain the Correct Forms

Official scannable Copy A forms must be ordered from the IRS (not printed from the website). Recipient copies (Copy B and C) could be printed from IRS.gov.

Step 4: Complete Each Form Accurately

Enter payer and recipient information correctly. Use proper boxes for each payment type (e.g., Box 7 for nonemployee compensation).

Step 5: Provide Copies to Recipients

Send Copy B to recipients by January 31, 2011 (or February 15, 2011 for Boxes 8 and 14).

Step 6: File With the IRS

Submit Copy A and Form 1096 to the IRS by February 28, 2011 (paper) or March 31, 2011 (electronic).

Common Mistakes and How to Avoid Them

Missing or Incorrect TINs

Always collect and verify TINs using Form W-9. If mismatched, send a “B Notice” to request correction.

Wrong Box Reporting

Use the correct box to avoid misclassification. For example, use Box 7 (not Box 3) for contractor payments.

Ignoring Corporate Exceptions

Always file for attorneys and medical providers—even if they’re incorporated.

Missing the $600 Threshold Across Categories

Combine total payments per recipient across all categories to determine filing requirement.

Using Printable IRS Forms for Copy A

Never print Copy A from IRS.gov for filing. Only use official forms for IRS submissions.

Forgetting State Copies

Some states required their own copy (Copy 1). Check your state’s rules to avoid penalties.

What Happens After You File

After filing, the IRS matches your reports to recipients’ returns to verify accuracy.

Recipients use Form 1099-MISC data for their tax returns—contractors on Schedule C, landlords on Schedule E, etc.

If there’s an error or mismatch, the IRS may issue notices, or recipients may request corrected forms.

Penalties

Penalties ranged from $30 to $100 per form, increasing with delay. Intentional disregard triggered a $250 minimum penalty per form with no limit.

FAQs

Do I need to file Form 1099-MISC for payments to an LLC?

It depends on how the LLC is taxed:

Disregarded entity (sole proprietor): Yes, use the owner’s SSN.
Partnership: Yes, use the LLC’s EIN.
Corporation: Generally no, unless it’s for attorneys or medical providers.

I paid someone $550 during 2010. Do I file a 1099-MISC?

No. The payment is below the $600 threshold, unless federal tax was withheld.

What's the difference between an independent contractor and an employee?

Employees get a Form W-2; independent contractors get Form 1099-MISC. Classification depends on control, independence, and relationship factors (see IRS Publication 15-A).

Can I file Form 1099-MISC electronically?

Yes. Required for 250+ forms, optional otherwise. The electronic deadline was March 31, 2011.

What if the recipient won't give me their Social Security number or TIN?

Begin backup withholding at 28% on future payments and still file the 1099-MISC, noting the missing TIN.

I'm a sole proprietor with no employees. Do I still need to file?

Yes, if you paid $600 or more to any individual or non-corporate entity for business-related services or rent.

What happens if I discover an error after filing?

File a corrected Form 1099-MISC immediately and provide corrected copies to both the IRS and the recipient.

Authoritative Sources

This guide is based exclusively on official Internal Revenue Service publications for the 2010 tax year:

2010 Instructions for Form 1099-MISC
2010 Form 1099-MISC
Available at IRS.gov

Frequently Asked Questions

Form 1099-MISC Miscellaneous Income – 2010 Tax Year Guide

Form 1099-MISC is the tax form businesses and individuals use to report various types of miscellaneous payments to the IRS. Think of it as a report card for income that doesn't come from regular wages—like rent you paid to a landlord, fees you paid to an independent contractor, or royalties you paid to an author. If you paid someone $600 or more during 2010 for certain services or income (or just $10 or more for royalties), you likely needed to file this form.

What the Form Is For

Form 1099-MISC serves as the IRS's way of tracking income that falls outside the traditional employer-employee relationship. Businesses, landlords, nonprofits, and even government agencies use it to report payments made during their trade or business activities. The form helps ensure that people who received these payments report them as income on their tax returns.

The 2010 version reports numerous types of payments across different boxes on the form. Common scenarios include paying rent to a property owner (Box 1), paying royalties to copyright holders (Box 2), compensating independent contractors for services (Box 7), or reporting gross proceeds paid to attorneys (Box 14). The form also covers less common payments like fishing boat proceeds, crop insurance proceeds, medical and healthcare payments to providers, and even prizes and awards.

It's crucial to understand that Form 1099-MISC is only required for payments made in the course of your trade or business. Personal payments don't need to be reported. For example, if you personally hired someone to paint your house, you don't file a 1099-MISC. But if your business hired that same painter, you would need to file one if you paid $600 or more.

When You'd Use This Form (Including Late or Amended Filings)

For the 2010 tax year, the standard filing deadlines were straightforward but varied depending on what you were reporting. You needed to furnish Copy B to the recipient (the person who received the payment) by January 31, 2011. However, if you were reporting substitute payments in lieu of dividends or interest (Box 8) or gross proceeds paid to attorneys (Box 14), the recipient deadline was extended to February 15, 2011.

For filing Copy A with the IRS, the paper filing deadline was February 28, 2011. If you filed electronically, you had until March 31, 2011—giving you an extra month. Electronic filing was required if you filed 250 or more information returns of any single type.

Late Filings and Corrections

If you missed the deadline or discovered an error after filing, you could file a late Form 1099-MISC at any time, though penalties might apply depending on how late you filed. The penalty structure in 2010 worked on a sliding scale: filing within 30 days of the deadline resulted in smaller penalties than filing months later or not filing at all.

To correct a mistake on an already-filed form, you'd file an amended Form 1099-MISC by checking the “CORRECTED” box at the top and completing the form with the correct information. You'd also need to provide a corrected copy to the recipient. Common reasons for corrections included wrong amounts, incorrect taxpayer identification numbers, or reporting income in the wrong box.

Key Rules for 2010

Several important rules governed Form 1099-MISC reporting in 2010.

Payment Thresholds and Reporting Boxes

The $600 threshold applied to most payment types—rents, services, prizes, awards, other income, medical payments, and nonemployee compensation.
Royalties and broker payments in lieu of dividends required only a $10 threshold.

The form distinguished between different types of income across 18 numbered boxes. Getting the payment in the correct box mattered because the IRS used this information to verify that recipients properly reported their income.

Corporate Exemption Rules

Generally, payments to corporations didn’t require reporting. However, exceptions included:

Medical and health care payments (Box 6)
Attorneys’ fees (Box 7)
Gross proceeds to attorneys (Box 14)
Substitute payments in lieu of dividends or interest (Box 8)

Federal executive agencies also had to report payments to corporate vendors for services.

Backup Withholding

Backup withholding at 28% applied when recipients failed to provide their taxpayer identification number (TIN) or the IRS notified you that the recipient provided an incorrect TIN. Report any withheld amounts in Box 4.

New for 2010: TIN Truncation

A privacy enhancement allowed truncating TINs on payee statements (showing only the last four digits). However, full TINs were still required on the IRS submission copy.

Step-by-Step Filing Process (High Level)

Filing Form 1099-MISC follows a logical sequence that begins well before the end of the tax year.

Step 1: Collect Information Throughout the Year

Use Form W-9 to collect recipient details and TINs early. Keep records of all payments made.

Step 2: Determine Who Needs a Form

After the year ends, identify all recipients meeting the $600 threshold ($10 for royalties). Exclude payments to corporations unless exceptions apply.

Step 3: Obtain the Correct Forms

Official scannable Copy A forms must be ordered from the IRS (not printed from the website). Recipient copies (Copy B and C) could be printed from IRS.gov.

Step 4: Complete Each Form Accurately

Enter payer and recipient information correctly. Use proper boxes for each payment type (e.g., Box 7 for nonemployee compensation).

Step 5: Provide Copies to Recipients

Send Copy B to recipients by January 31, 2011 (or February 15, 2011 for Boxes 8 and 14).

Step 6: File With the IRS

Submit Copy A and Form 1096 to the IRS by February 28, 2011 (paper) or March 31, 2011 (electronic).

Common Mistakes and How to Avoid Them

Missing or Incorrect TINs

Always collect and verify TINs using Form W-9. If mismatched, send a “B Notice” to request correction.

Wrong Box Reporting

Use the correct box to avoid misclassification. For example, use Box 7 (not Box 3) for contractor payments.

Ignoring Corporate Exceptions

Always file for attorneys and medical providers—even if they’re incorporated.

Missing the $600 Threshold Across Categories

Combine total payments per recipient across all categories to determine filing requirement.

Using Printable IRS Forms for Copy A

Never print Copy A from IRS.gov for filing. Only use official forms for IRS submissions.

Forgetting State Copies

Some states required their own copy (Copy 1). Check your state’s rules to avoid penalties.

What Happens After You File

After filing, the IRS matches your reports to recipients’ returns to verify accuracy.

Recipients use Form 1099-MISC data for their tax returns—contractors on Schedule C, landlords on Schedule E, etc.

If there’s an error or mismatch, the IRS may issue notices, or recipients may request corrected forms.

Penalties

Penalties ranged from $30 to $100 per form, increasing with delay. Intentional disregard triggered a $250 minimum penalty per form with no limit.

FAQs

Do I need to file Form 1099-MISC for payments to an LLC?

It depends on how the LLC is taxed:

Disregarded entity (sole proprietor): Yes, use the owner’s SSN.
Partnership: Yes, use the LLC’s EIN.
Corporation: Generally no, unless it’s for attorneys or medical providers.

I paid someone $550 during 2010. Do I file a 1099-MISC?

No. The payment is below the $600 threshold, unless federal tax was withheld.

What's the difference between an independent contractor and an employee?

Employees get a Form W-2; independent contractors get Form 1099-MISC. Classification depends on control, independence, and relationship factors (see IRS Publication 15-A).

Can I file Form 1099-MISC electronically?

Yes. Required for 250+ forms, optional otherwise. The electronic deadline was March 31, 2011.

What if the recipient won't give me their Social Security number or TIN?

Begin backup withholding at 28% on future payments and still file the 1099-MISC, noting the missing TIN.

I'm a sole proprietor with no employees. Do I still need to file?

Yes, if you paid $600 or more to any individual or non-corporate entity for business-related services or rent.

What happens if I discover an error after filing?

File a corrected Form 1099-MISC immediately and provide corrected copies to both the IRS and the recipient.

Authoritative Sources

This guide is based exclusively on official Internal Revenue Service publications for the 2010 tax year:

2010 Instructions for Form 1099-MISC
2010 Form 1099-MISC
Available at IRS.gov

Frequently Asked Questions

No items found.

Form 1099-MISC Miscellaneous Income – 2010 Tax Year Guide

Form 1099-MISC is the tax form businesses and individuals use to report various types of miscellaneous payments to the IRS. Think of it as a report card for income that doesn't come from regular wages—like rent you paid to a landlord, fees you paid to an independent contractor, or royalties you paid to an author. If you paid someone $600 or more during 2010 for certain services or income (or just $10 or more for royalties), you likely needed to file this form.

What the Form Is For

Form 1099-MISC serves as the IRS's way of tracking income that falls outside the traditional employer-employee relationship. Businesses, landlords, nonprofits, and even government agencies use it to report payments made during their trade or business activities. The form helps ensure that people who received these payments report them as income on their tax returns.

The 2010 version reports numerous types of payments across different boxes on the form. Common scenarios include paying rent to a property owner (Box 1), paying royalties to copyright holders (Box 2), compensating independent contractors for services (Box 7), or reporting gross proceeds paid to attorneys (Box 14). The form also covers less common payments like fishing boat proceeds, crop insurance proceeds, medical and healthcare payments to providers, and even prizes and awards.

It's crucial to understand that Form 1099-MISC is only required for payments made in the course of your trade or business. Personal payments don't need to be reported. For example, if you personally hired someone to paint your house, you don't file a 1099-MISC. But if your business hired that same painter, you would need to file one if you paid $600 or more.

When You'd Use This Form (Including Late or Amended Filings)

For the 2010 tax year, the standard filing deadlines were straightforward but varied depending on what you were reporting. You needed to furnish Copy B to the recipient (the person who received the payment) by January 31, 2011. However, if you were reporting substitute payments in lieu of dividends or interest (Box 8) or gross proceeds paid to attorneys (Box 14), the recipient deadline was extended to February 15, 2011.

For filing Copy A with the IRS, the paper filing deadline was February 28, 2011. If you filed electronically, you had until March 31, 2011—giving you an extra month. Electronic filing was required if you filed 250 or more information returns of any single type.

Late Filings and Corrections

If you missed the deadline or discovered an error after filing, you could file a late Form 1099-MISC at any time, though penalties might apply depending on how late you filed. The penalty structure in 2010 worked on a sliding scale: filing within 30 days of the deadline resulted in smaller penalties than filing months later or not filing at all.

To correct a mistake on an already-filed form, you'd file an amended Form 1099-MISC by checking the “CORRECTED” box at the top and completing the form with the correct information. You'd also need to provide a corrected copy to the recipient. Common reasons for corrections included wrong amounts, incorrect taxpayer identification numbers, or reporting income in the wrong box.

Key Rules for 2010

Several important rules governed Form 1099-MISC reporting in 2010.

Payment Thresholds and Reporting Boxes

The $600 threshold applied to most payment types—rents, services, prizes, awards, other income, medical payments, and nonemployee compensation.
Royalties and broker payments in lieu of dividends required only a $10 threshold.

The form distinguished between different types of income across 18 numbered boxes. Getting the payment in the correct box mattered because the IRS used this information to verify that recipients properly reported their income.

Corporate Exemption Rules

Generally, payments to corporations didn’t require reporting. However, exceptions included:

Medical and health care payments (Box 6)
Attorneys’ fees (Box 7)
Gross proceeds to attorneys (Box 14)
Substitute payments in lieu of dividends or interest (Box 8)

Federal executive agencies also had to report payments to corporate vendors for services.

Backup Withholding

Backup withholding at 28% applied when recipients failed to provide their taxpayer identification number (TIN) or the IRS notified you that the recipient provided an incorrect TIN. Report any withheld amounts in Box 4.

New for 2010: TIN Truncation

A privacy enhancement allowed truncating TINs on payee statements (showing only the last four digits). However, full TINs were still required on the IRS submission copy.

Step-by-Step Filing Process (High Level)

Filing Form 1099-MISC follows a logical sequence that begins well before the end of the tax year.

Step 1: Collect Information Throughout the Year

Use Form W-9 to collect recipient details and TINs early. Keep records of all payments made.

Step 2: Determine Who Needs a Form

After the year ends, identify all recipients meeting the $600 threshold ($10 for royalties). Exclude payments to corporations unless exceptions apply.

Step 3: Obtain the Correct Forms

Official scannable Copy A forms must be ordered from the IRS (not printed from the website). Recipient copies (Copy B and C) could be printed from IRS.gov.

Step 4: Complete Each Form Accurately

Enter payer and recipient information correctly. Use proper boxes for each payment type (e.g., Box 7 for nonemployee compensation).

Step 5: Provide Copies to Recipients

Send Copy B to recipients by January 31, 2011 (or February 15, 2011 for Boxes 8 and 14).

Step 6: File With the IRS

Submit Copy A and Form 1096 to the IRS by February 28, 2011 (paper) or March 31, 2011 (electronic).

Common Mistakes and How to Avoid Them

Missing or Incorrect TINs

Always collect and verify TINs using Form W-9. If mismatched, send a “B Notice” to request correction.

Wrong Box Reporting

Use the correct box to avoid misclassification. For example, use Box 7 (not Box 3) for contractor payments.

Ignoring Corporate Exceptions

Always file for attorneys and medical providers—even if they’re incorporated.

Missing the $600 Threshold Across Categories

Combine total payments per recipient across all categories to determine filing requirement.

Using Printable IRS Forms for Copy A

Never print Copy A from IRS.gov for filing. Only use official forms for IRS submissions.

Forgetting State Copies

Some states required their own copy (Copy 1). Check your state’s rules to avoid penalties.

What Happens After You File

After filing, the IRS matches your reports to recipients’ returns to verify accuracy.

Recipients use Form 1099-MISC data for their tax returns—contractors on Schedule C, landlords on Schedule E, etc.

If there’s an error or mismatch, the IRS may issue notices, or recipients may request corrected forms.

Penalties

Penalties ranged from $30 to $100 per form, increasing with delay. Intentional disregard triggered a $250 minimum penalty per form with no limit.

FAQs

Do I need to file Form 1099-MISC for payments to an LLC?

It depends on how the LLC is taxed:

Disregarded entity (sole proprietor): Yes, use the owner’s SSN.
Partnership: Yes, use the LLC’s EIN.
Corporation: Generally no, unless it’s for attorneys or medical providers.

I paid someone $550 during 2010. Do I file a 1099-MISC?

No. The payment is below the $600 threshold, unless federal tax was withheld.

What's the difference between an independent contractor and an employee?

Employees get a Form W-2; independent contractors get Form 1099-MISC. Classification depends on control, independence, and relationship factors (see IRS Publication 15-A).

Can I file Form 1099-MISC electronically?

Yes. Required for 250+ forms, optional otherwise. The electronic deadline was March 31, 2011.

What if the recipient won't give me their Social Security number or TIN?

Begin backup withholding at 28% on future payments and still file the 1099-MISC, noting the missing TIN.

I'm a sole proprietor with no employees. Do I still need to file?

Yes, if you paid $600 or more to any individual or non-corporate entity for business-related services or rent.

What happens if I discover an error after filing?

File a corrected Form 1099-MISC immediately and provide corrected copies to both the IRS and the recipient.

Authoritative Sources

This guide is based exclusively on official Internal Revenue Service publications for the 2010 tax year:

2010 Instructions for Form 1099-MISC
2010 Form 1099-MISC
Available at IRS.gov

Frequently Asked Questions

Form 1099-MISC Miscellaneous Income – 2010 Tax Year Guide

Form 1099-MISC is the tax form businesses and individuals use to report various types of miscellaneous payments to the IRS. Think of it as a report card for income that doesn't come from regular wages—like rent you paid to a landlord, fees you paid to an independent contractor, or royalties you paid to an author. If you paid someone $600 or more during 2010 for certain services or income (or just $10 or more for royalties), you likely needed to file this form.

What the Form Is For

Form 1099-MISC serves as the IRS's way of tracking income that falls outside the traditional employer-employee relationship. Businesses, landlords, nonprofits, and even government agencies use it to report payments made during their trade or business activities. The form helps ensure that people who received these payments report them as income on their tax returns.

The 2010 version reports numerous types of payments across different boxes on the form. Common scenarios include paying rent to a property owner (Box 1), paying royalties to copyright holders (Box 2), compensating independent contractors for services (Box 7), or reporting gross proceeds paid to attorneys (Box 14). The form also covers less common payments like fishing boat proceeds, crop insurance proceeds, medical and healthcare payments to providers, and even prizes and awards.

It's crucial to understand that Form 1099-MISC is only required for payments made in the course of your trade or business. Personal payments don't need to be reported. For example, if you personally hired someone to paint your house, you don't file a 1099-MISC. But if your business hired that same painter, you would need to file one if you paid $600 or more.

When You'd Use This Form (Including Late or Amended Filings)

For the 2010 tax year, the standard filing deadlines were straightforward but varied depending on what you were reporting. You needed to furnish Copy B to the recipient (the person who received the payment) by January 31, 2011. However, if you were reporting substitute payments in lieu of dividends or interest (Box 8) or gross proceeds paid to attorneys (Box 14), the recipient deadline was extended to February 15, 2011.

For filing Copy A with the IRS, the paper filing deadline was February 28, 2011. If you filed electronically, you had until March 31, 2011—giving you an extra month. Electronic filing was required if you filed 250 or more information returns of any single type.

Late Filings and Corrections

If you missed the deadline or discovered an error after filing, you could file a late Form 1099-MISC at any time, though penalties might apply depending on how late you filed. The penalty structure in 2010 worked on a sliding scale: filing within 30 days of the deadline resulted in smaller penalties than filing months later or not filing at all.

To correct a mistake on an already-filed form, you'd file an amended Form 1099-MISC by checking the “CORRECTED” box at the top and completing the form with the correct information. You'd also need to provide a corrected copy to the recipient. Common reasons for corrections included wrong amounts, incorrect taxpayer identification numbers, or reporting income in the wrong box.

Key Rules for 2010

Several important rules governed Form 1099-MISC reporting in 2010.

Payment Thresholds and Reporting Boxes

The $600 threshold applied to most payment types—rents, services, prizes, awards, other income, medical payments, and nonemployee compensation.
Royalties and broker payments in lieu of dividends required only a $10 threshold.

The form distinguished between different types of income across 18 numbered boxes. Getting the payment in the correct box mattered because the IRS used this information to verify that recipients properly reported their income.

Corporate Exemption Rules

Generally, payments to corporations didn’t require reporting. However, exceptions included:

Medical and health care payments (Box 6)
Attorneys’ fees (Box 7)
Gross proceeds to attorneys (Box 14)
Substitute payments in lieu of dividends or interest (Box 8)

Federal executive agencies also had to report payments to corporate vendors for services.

Backup Withholding

Backup withholding at 28% applied when recipients failed to provide their taxpayer identification number (TIN) or the IRS notified you that the recipient provided an incorrect TIN. Report any withheld amounts in Box 4.

New for 2010: TIN Truncation

A privacy enhancement allowed truncating TINs on payee statements (showing only the last four digits). However, full TINs were still required on the IRS submission copy.

Step-by-Step Filing Process (High Level)

Filing Form 1099-MISC follows a logical sequence that begins well before the end of the tax year.

Step 1: Collect Information Throughout the Year

Use Form W-9 to collect recipient details and TINs early. Keep records of all payments made.

Step 2: Determine Who Needs a Form

After the year ends, identify all recipients meeting the $600 threshold ($10 for royalties). Exclude payments to corporations unless exceptions apply.

Step 3: Obtain the Correct Forms

Official scannable Copy A forms must be ordered from the IRS (not printed from the website). Recipient copies (Copy B and C) could be printed from IRS.gov.

Step 4: Complete Each Form Accurately

Enter payer and recipient information correctly. Use proper boxes for each payment type (e.g., Box 7 for nonemployee compensation).

Step 5: Provide Copies to Recipients

Send Copy B to recipients by January 31, 2011 (or February 15, 2011 for Boxes 8 and 14).

Step 6: File With the IRS

Submit Copy A and Form 1096 to the IRS by February 28, 2011 (paper) or March 31, 2011 (electronic).

Common Mistakes and How to Avoid Them

Missing or Incorrect TINs

Always collect and verify TINs using Form W-9. If mismatched, send a “B Notice” to request correction.

Wrong Box Reporting

Use the correct box to avoid misclassification. For example, use Box 7 (not Box 3) for contractor payments.

Ignoring Corporate Exceptions

Always file for attorneys and medical providers—even if they’re incorporated.

Missing the $600 Threshold Across Categories

Combine total payments per recipient across all categories to determine filing requirement.

Using Printable IRS Forms for Copy A

Never print Copy A from IRS.gov for filing. Only use official forms for IRS submissions.

Forgetting State Copies

Some states required their own copy (Copy 1). Check your state’s rules to avoid penalties.

What Happens After You File

After filing, the IRS matches your reports to recipients’ returns to verify accuracy.

Recipients use Form 1099-MISC data for their tax returns—contractors on Schedule C, landlords on Schedule E, etc.

If there’s an error or mismatch, the IRS may issue notices, or recipients may request corrected forms.

Penalties

Penalties ranged from $30 to $100 per form, increasing with delay. Intentional disregard triggered a $250 minimum penalty per form with no limit.

FAQs

Do I need to file Form 1099-MISC for payments to an LLC?

It depends on how the LLC is taxed:

Disregarded entity (sole proprietor): Yes, use the owner’s SSN.
Partnership: Yes, use the LLC’s EIN.
Corporation: Generally no, unless it’s for attorneys or medical providers.

I paid someone $550 during 2010. Do I file a 1099-MISC?

No. The payment is below the $600 threshold, unless federal tax was withheld.

What's the difference between an independent contractor and an employee?

Employees get a Form W-2; independent contractors get Form 1099-MISC. Classification depends on control, independence, and relationship factors (see IRS Publication 15-A).

Can I file Form 1099-MISC electronically?

Yes. Required for 250+ forms, optional otherwise. The electronic deadline was March 31, 2011.

What if the recipient won't give me their Social Security number or TIN?

Begin backup withholding at 28% on future payments and still file the 1099-MISC, noting the missing TIN.

I'm a sole proprietor with no employees. Do I still need to file?

Yes, if you paid $600 or more to any individual or non-corporate entity for business-related services or rent.

What happens if I discover an error after filing?

File a corrected Form 1099-MISC immediately and provide corrected copies to both the IRS and the recipient.

Authoritative Sources

This guide is based exclusively on official Internal Revenue Service publications for the 2010 tax year:

2010 Instructions for Form 1099-MISC
2010 Form 1099-MISC
Available at IRS.gov

Frequently Asked Questions

Form 1099-MISC Miscellaneous Income – 2010 Tax Year Guide

Heading

Form 1099-MISC is the tax form businesses and individuals use to report various types of miscellaneous payments to the IRS. Think of it as a report card for income that doesn't come from regular wages—like rent you paid to a landlord, fees you paid to an independent contractor, or royalties you paid to an author. If you paid someone $600 or more during 2010 for certain services or income (or just $10 or more for royalties), you likely needed to file this form.

What the Form Is For

Form 1099-MISC serves as the IRS's way of tracking income that falls outside the traditional employer-employee relationship. Businesses, landlords, nonprofits, and even government agencies use it to report payments made during their trade or business activities. The form helps ensure that people who received these payments report them as income on their tax returns.

The 2010 version reports numerous types of payments across different boxes on the form. Common scenarios include paying rent to a property owner (Box 1), paying royalties to copyright holders (Box 2), compensating independent contractors for services (Box 7), or reporting gross proceeds paid to attorneys (Box 14). The form also covers less common payments like fishing boat proceeds, crop insurance proceeds, medical and healthcare payments to providers, and even prizes and awards.

It's crucial to understand that Form 1099-MISC is only required for payments made in the course of your trade or business. Personal payments don't need to be reported. For example, if you personally hired someone to paint your house, you don't file a 1099-MISC. But if your business hired that same painter, you would need to file one if you paid $600 or more.

When You'd Use This Form (Including Late or Amended Filings)

For the 2010 tax year, the standard filing deadlines were straightforward but varied depending on what you were reporting. You needed to furnish Copy B to the recipient (the person who received the payment) by January 31, 2011. However, if you were reporting substitute payments in lieu of dividends or interest (Box 8) or gross proceeds paid to attorneys (Box 14), the recipient deadline was extended to February 15, 2011.

For filing Copy A with the IRS, the paper filing deadline was February 28, 2011. If you filed electronically, you had until March 31, 2011—giving you an extra month. Electronic filing was required if you filed 250 or more information returns of any single type.

Late Filings and Corrections

If you missed the deadline or discovered an error after filing, you could file a late Form 1099-MISC at any time, though penalties might apply depending on how late you filed. The penalty structure in 2010 worked on a sliding scale: filing within 30 days of the deadline resulted in smaller penalties than filing months later or not filing at all.

To correct a mistake on an already-filed form, you'd file an amended Form 1099-MISC by checking the “CORRECTED” box at the top and completing the form with the correct information. You'd also need to provide a corrected copy to the recipient. Common reasons for corrections included wrong amounts, incorrect taxpayer identification numbers, or reporting income in the wrong box.

Key Rules for 2010

Several important rules governed Form 1099-MISC reporting in 2010.

Payment Thresholds and Reporting Boxes

The $600 threshold applied to most payment types—rents, services, prizes, awards, other income, medical payments, and nonemployee compensation.
Royalties and broker payments in lieu of dividends required only a $10 threshold.

The form distinguished between different types of income across 18 numbered boxes. Getting the payment in the correct box mattered because the IRS used this information to verify that recipients properly reported their income.

Corporate Exemption Rules

Generally, payments to corporations didn’t require reporting. However, exceptions included:

Medical and health care payments (Box 6)
Attorneys’ fees (Box 7)
Gross proceeds to attorneys (Box 14)
Substitute payments in lieu of dividends or interest (Box 8)

Federal executive agencies also had to report payments to corporate vendors for services.

Backup Withholding

Backup withholding at 28% applied when recipients failed to provide their taxpayer identification number (TIN) or the IRS notified you that the recipient provided an incorrect TIN. Report any withheld amounts in Box 4.

New for 2010: TIN Truncation

A privacy enhancement allowed truncating TINs on payee statements (showing only the last four digits). However, full TINs were still required on the IRS submission copy.

Step-by-Step Filing Process (High Level)

Filing Form 1099-MISC follows a logical sequence that begins well before the end of the tax year.

Step 1: Collect Information Throughout the Year

Use Form W-9 to collect recipient details and TINs early. Keep records of all payments made.

Step 2: Determine Who Needs a Form

After the year ends, identify all recipients meeting the $600 threshold ($10 for royalties). Exclude payments to corporations unless exceptions apply.

Step 3: Obtain the Correct Forms

Official scannable Copy A forms must be ordered from the IRS (not printed from the website). Recipient copies (Copy B and C) could be printed from IRS.gov.

Step 4: Complete Each Form Accurately

Enter payer and recipient information correctly. Use proper boxes for each payment type (e.g., Box 7 for nonemployee compensation).

Step 5: Provide Copies to Recipients

Send Copy B to recipients by January 31, 2011 (or February 15, 2011 for Boxes 8 and 14).

Step 6: File With the IRS

Submit Copy A and Form 1096 to the IRS by February 28, 2011 (paper) or March 31, 2011 (electronic).

Common Mistakes and How to Avoid Them

Missing or Incorrect TINs

Always collect and verify TINs using Form W-9. If mismatched, send a “B Notice” to request correction.

Wrong Box Reporting

Use the correct box to avoid misclassification. For example, use Box 7 (not Box 3) for contractor payments.

Ignoring Corporate Exceptions

Always file for attorneys and medical providers—even if they’re incorporated.

Missing the $600 Threshold Across Categories

Combine total payments per recipient across all categories to determine filing requirement.

Using Printable IRS Forms for Copy A

Never print Copy A from IRS.gov for filing. Only use official forms for IRS submissions.

Forgetting State Copies

Some states required their own copy (Copy 1). Check your state’s rules to avoid penalties.

What Happens After You File

After filing, the IRS matches your reports to recipients’ returns to verify accuracy.

Recipients use Form 1099-MISC data for their tax returns—contractors on Schedule C, landlords on Schedule E, etc.

If there’s an error or mismatch, the IRS may issue notices, or recipients may request corrected forms.

Penalties

Penalties ranged from $30 to $100 per form, increasing with delay. Intentional disregard triggered a $250 minimum penalty per form with no limit.

FAQs

Do I need to file Form 1099-MISC for payments to an LLC?

It depends on how the LLC is taxed:

Disregarded entity (sole proprietor): Yes, use the owner’s SSN.
Partnership: Yes, use the LLC’s EIN.
Corporation: Generally no, unless it’s for attorneys or medical providers.

I paid someone $550 during 2010. Do I file a 1099-MISC?

No. The payment is below the $600 threshold, unless federal tax was withheld.

What's the difference between an independent contractor and an employee?

Employees get a Form W-2; independent contractors get Form 1099-MISC. Classification depends on control, independence, and relationship factors (see IRS Publication 15-A).

Can I file Form 1099-MISC electronically?

Yes. Required for 250+ forms, optional otherwise. The electronic deadline was March 31, 2011.

What if the recipient won't give me their Social Security number or TIN?

Begin backup withholding at 28% on future payments and still file the 1099-MISC, noting the missing TIN.

I'm a sole proprietor with no employees. Do I still need to file?

Yes, if you paid $600 or more to any individual or non-corporate entity for business-related services or rent.

What happens if I discover an error after filing?

File a corrected Form 1099-MISC immediately and provide corrected copies to both the IRS and the recipient.

Authoritative Sources

This guide is based exclusively on official Internal Revenue Service publications for the 2010 tax year:

2010 Instructions for Form 1099-MISC
2010 Form 1099-MISC
Available at IRS.gov

Form 1099-MISC Miscellaneous Income – 2010 Tax Year Guide

Frequently Asked Questions

Form 1099-MISC Miscellaneous Income – 2010 Tax Year Guide

Form 1099-MISC is the tax form businesses and individuals use to report various types of miscellaneous payments to the IRS. Think of it as a report card for income that doesn't come from regular wages—like rent you paid to a landlord, fees you paid to an independent contractor, or royalties you paid to an author. If you paid someone $600 or more during 2010 for certain services or income (or just $10 or more for royalties), you likely needed to file this form.

What the Form Is For

Form 1099-MISC serves as the IRS's way of tracking income that falls outside the traditional employer-employee relationship. Businesses, landlords, nonprofits, and even government agencies use it to report payments made during their trade or business activities. The form helps ensure that people who received these payments report them as income on their tax returns.

The 2010 version reports numerous types of payments across different boxes on the form. Common scenarios include paying rent to a property owner (Box 1), paying royalties to copyright holders (Box 2), compensating independent contractors for services (Box 7), or reporting gross proceeds paid to attorneys (Box 14). The form also covers less common payments like fishing boat proceeds, crop insurance proceeds, medical and healthcare payments to providers, and even prizes and awards.

It's crucial to understand that Form 1099-MISC is only required for payments made in the course of your trade or business. Personal payments don't need to be reported. For example, if you personally hired someone to paint your house, you don't file a 1099-MISC. But if your business hired that same painter, you would need to file one if you paid $600 or more.

When You'd Use This Form (Including Late or Amended Filings)

For the 2010 tax year, the standard filing deadlines were straightforward but varied depending on what you were reporting. You needed to furnish Copy B to the recipient (the person who received the payment) by January 31, 2011. However, if you were reporting substitute payments in lieu of dividends or interest (Box 8) or gross proceeds paid to attorneys (Box 14), the recipient deadline was extended to February 15, 2011.

For filing Copy A with the IRS, the paper filing deadline was February 28, 2011. If you filed electronically, you had until March 31, 2011—giving you an extra month. Electronic filing was required if you filed 250 or more information returns of any single type.

Late Filings and Corrections

If you missed the deadline or discovered an error after filing, you could file a late Form 1099-MISC at any time, though penalties might apply depending on how late you filed. The penalty structure in 2010 worked on a sliding scale: filing within 30 days of the deadline resulted in smaller penalties than filing months later or not filing at all.

To correct a mistake on an already-filed form, you'd file an amended Form 1099-MISC by checking the “CORRECTED” box at the top and completing the form with the correct information. You'd also need to provide a corrected copy to the recipient. Common reasons for corrections included wrong amounts, incorrect taxpayer identification numbers, or reporting income in the wrong box.

Key Rules for 2010

Several important rules governed Form 1099-MISC reporting in 2010.

Payment Thresholds and Reporting Boxes

The $600 threshold applied to most payment types—rents, services, prizes, awards, other income, medical payments, and nonemployee compensation.
Royalties and broker payments in lieu of dividends required only a $10 threshold.

The form distinguished between different types of income across 18 numbered boxes. Getting the payment in the correct box mattered because the IRS used this information to verify that recipients properly reported their income.

Corporate Exemption Rules

Generally, payments to corporations didn’t require reporting. However, exceptions included:

Medical and health care payments (Box 6)
Attorneys’ fees (Box 7)
Gross proceeds to attorneys (Box 14)
Substitute payments in lieu of dividends or interest (Box 8)

Federal executive agencies also had to report payments to corporate vendors for services.

Backup Withholding

Backup withholding at 28% applied when recipients failed to provide their taxpayer identification number (TIN) or the IRS notified you that the recipient provided an incorrect TIN. Report any withheld amounts in Box 4.

New for 2010: TIN Truncation

A privacy enhancement allowed truncating TINs on payee statements (showing only the last four digits). However, full TINs were still required on the IRS submission copy.

Step-by-Step Filing Process (High Level)

Filing Form 1099-MISC follows a logical sequence that begins well before the end of the tax year.

Step 1: Collect Information Throughout the Year

Use Form W-9 to collect recipient details and TINs early. Keep records of all payments made.

Step 2: Determine Who Needs a Form

After the year ends, identify all recipients meeting the $600 threshold ($10 for royalties). Exclude payments to corporations unless exceptions apply.

Step 3: Obtain the Correct Forms

Official scannable Copy A forms must be ordered from the IRS (not printed from the website). Recipient copies (Copy B and C) could be printed from IRS.gov.

Step 4: Complete Each Form Accurately

Enter payer and recipient information correctly. Use proper boxes for each payment type (e.g., Box 7 for nonemployee compensation).

Step 5: Provide Copies to Recipients

Send Copy B to recipients by January 31, 2011 (or February 15, 2011 for Boxes 8 and 14).

Step 6: File With the IRS

Submit Copy A and Form 1096 to the IRS by February 28, 2011 (paper) or March 31, 2011 (electronic).

Common Mistakes and How to Avoid Them

Missing or Incorrect TINs

Always collect and verify TINs using Form W-9. If mismatched, send a “B Notice” to request correction.

Wrong Box Reporting

Use the correct box to avoid misclassification. For example, use Box 7 (not Box 3) for contractor payments.

Ignoring Corporate Exceptions

Always file for attorneys and medical providers—even if they’re incorporated.

Missing the $600 Threshold Across Categories

Combine total payments per recipient across all categories to determine filing requirement.

Using Printable IRS Forms for Copy A

Never print Copy A from IRS.gov for filing. Only use official forms for IRS submissions.

Forgetting State Copies

Some states required their own copy (Copy 1). Check your state’s rules to avoid penalties.

What Happens After You File

After filing, the IRS matches your reports to recipients’ returns to verify accuracy.

Recipients use Form 1099-MISC data for their tax returns—contractors on Schedule C, landlords on Schedule E, etc.

If there’s an error or mismatch, the IRS may issue notices, or recipients may request corrected forms.

Penalties

Penalties ranged from $30 to $100 per form, increasing with delay. Intentional disregard triggered a $250 minimum penalty per form with no limit.

FAQs

Do I need to file Form 1099-MISC for payments to an LLC?

It depends on how the LLC is taxed:

Disregarded entity (sole proprietor): Yes, use the owner’s SSN.
Partnership: Yes, use the LLC’s EIN.
Corporation: Generally no, unless it’s for attorneys or medical providers.

I paid someone $550 during 2010. Do I file a 1099-MISC?

No. The payment is below the $600 threshold, unless federal tax was withheld.

What's the difference between an independent contractor and an employee?

Employees get a Form W-2; independent contractors get Form 1099-MISC. Classification depends on control, independence, and relationship factors (see IRS Publication 15-A).

Can I file Form 1099-MISC electronically?

Yes. Required for 250+ forms, optional otherwise. The electronic deadline was March 31, 2011.

What if the recipient won't give me their Social Security number or TIN?

Begin backup withholding at 28% on future payments and still file the 1099-MISC, noting the missing TIN.

I'm a sole proprietor with no employees. Do I still need to file?

Yes, if you paid $600 or more to any individual or non-corporate entity for business-related services or rent.

What happens if I discover an error after filing?

File a corrected Form 1099-MISC immediately and provide corrected copies to both the IRS and the recipient.

Authoritative Sources

This guide is based exclusively on official Internal Revenue Service publications for the 2010 tax year:

2010 Instructions for Form 1099-MISC
2010 Form 1099-MISC
Available at IRS.gov

Frequently Asked Questions

Form 1099-MISC Miscellaneous Income – 2010 Tax Year Guide

Form 1099-MISC is the tax form businesses and individuals use to report various types of miscellaneous payments to the IRS. Think of it as a report card for income that doesn't come from regular wages—like rent you paid to a landlord, fees you paid to an independent contractor, or royalties you paid to an author. If you paid someone $600 or more during 2010 for certain services or income (or just $10 or more for royalties), you likely needed to file this form.

What the Form Is For

Form 1099-MISC serves as the IRS's way of tracking income that falls outside the traditional employer-employee relationship. Businesses, landlords, nonprofits, and even government agencies use it to report payments made during their trade or business activities. The form helps ensure that people who received these payments report them as income on their tax returns.

The 2010 version reports numerous types of payments across different boxes on the form. Common scenarios include paying rent to a property owner (Box 1), paying royalties to copyright holders (Box 2), compensating independent contractors for services (Box 7), or reporting gross proceeds paid to attorneys (Box 14). The form also covers less common payments like fishing boat proceeds, crop insurance proceeds, medical and healthcare payments to providers, and even prizes and awards.

It's crucial to understand that Form 1099-MISC is only required for payments made in the course of your trade or business. Personal payments don't need to be reported. For example, if you personally hired someone to paint your house, you don't file a 1099-MISC. But if your business hired that same painter, you would need to file one if you paid $600 or more.

When You'd Use This Form (Including Late or Amended Filings)

For the 2010 tax year, the standard filing deadlines were straightforward but varied depending on what you were reporting. You needed to furnish Copy B to the recipient (the person who received the payment) by January 31, 2011. However, if you were reporting substitute payments in lieu of dividends or interest (Box 8) or gross proceeds paid to attorneys (Box 14), the recipient deadline was extended to February 15, 2011.

For filing Copy A with the IRS, the paper filing deadline was February 28, 2011. If you filed electronically, you had until March 31, 2011—giving you an extra month. Electronic filing was required if you filed 250 or more information returns of any single type.

Late Filings and Corrections

If you missed the deadline or discovered an error after filing, you could file a late Form 1099-MISC at any time, though penalties might apply depending on how late you filed. The penalty structure in 2010 worked on a sliding scale: filing within 30 days of the deadline resulted in smaller penalties than filing months later or not filing at all.

To correct a mistake on an already-filed form, you'd file an amended Form 1099-MISC by checking the “CORRECTED” box at the top and completing the form with the correct information. You'd also need to provide a corrected copy to the recipient. Common reasons for corrections included wrong amounts, incorrect taxpayer identification numbers, or reporting income in the wrong box.

Key Rules for 2010

Several important rules governed Form 1099-MISC reporting in 2010.

Payment Thresholds and Reporting Boxes

The $600 threshold applied to most payment types—rents, services, prizes, awards, other income, medical payments, and nonemployee compensation.
Royalties and broker payments in lieu of dividends required only a $10 threshold.

The form distinguished between different types of income across 18 numbered boxes. Getting the payment in the correct box mattered because the IRS used this information to verify that recipients properly reported their income.

Corporate Exemption Rules

Generally, payments to corporations didn’t require reporting. However, exceptions included:

Medical and health care payments (Box 6)
Attorneys’ fees (Box 7)
Gross proceeds to attorneys (Box 14)
Substitute payments in lieu of dividends or interest (Box 8)

Federal executive agencies also had to report payments to corporate vendors for services.

Backup Withholding

Backup withholding at 28% applied when recipients failed to provide their taxpayer identification number (TIN) or the IRS notified you that the recipient provided an incorrect TIN. Report any withheld amounts in Box 4.

New for 2010: TIN Truncation

A privacy enhancement allowed truncating TINs on payee statements (showing only the last four digits). However, full TINs were still required on the IRS submission copy.

Step-by-Step Filing Process (High Level)

Filing Form 1099-MISC follows a logical sequence that begins well before the end of the tax year.

Step 1: Collect Information Throughout the Year

Use Form W-9 to collect recipient details and TINs early. Keep records of all payments made.

Step 2: Determine Who Needs a Form

After the year ends, identify all recipients meeting the $600 threshold ($10 for royalties). Exclude payments to corporations unless exceptions apply.

Step 3: Obtain the Correct Forms

Official scannable Copy A forms must be ordered from the IRS (not printed from the website). Recipient copies (Copy B and C) could be printed from IRS.gov.

Step 4: Complete Each Form Accurately

Enter payer and recipient information correctly. Use proper boxes for each payment type (e.g., Box 7 for nonemployee compensation).

Step 5: Provide Copies to Recipients

Send Copy B to recipients by January 31, 2011 (or February 15, 2011 for Boxes 8 and 14).

Step 6: File With the IRS

Submit Copy A and Form 1096 to the IRS by February 28, 2011 (paper) or March 31, 2011 (electronic).

Common Mistakes and How to Avoid Them

Missing or Incorrect TINs

Always collect and verify TINs using Form W-9. If mismatched, send a “B Notice” to request correction.

Wrong Box Reporting

Use the correct box to avoid misclassification. For example, use Box 7 (not Box 3) for contractor payments.

Ignoring Corporate Exceptions

Always file for attorneys and medical providers—even if they’re incorporated.

Missing the $600 Threshold Across Categories

Combine total payments per recipient across all categories to determine filing requirement.

Using Printable IRS Forms for Copy A

Never print Copy A from IRS.gov for filing. Only use official forms for IRS submissions.

Forgetting State Copies

Some states required their own copy (Copy 1). Check your state’s rules to avoid penalties.

What Happens After You File

After filing, the IRS matches your reports to recipients’ returns to verify accuracy.

Recipients use Form 1099-MISC data for their tax returns—contractors on Schedule C, landlords on Schedule E, etc.

If there’s an error or mismatch, the IRS may issue notices, or recipients may request corrected forms.

Penalties

Penalties ranged from $30 to $100 per form, increasing with delay. Intentional disregard triggered a $250 minimum penalty per form with no limit.

FAQs

Do I need to file Form 1099-MISC for payments to an LLC?

It depends on how the LLC is taxed:

Disregarded entity (sole proprietor): Yes, use the owner’s SSN.
Partnership: Yes, use the LLC’s EIN.
Corporation: Generally no, unless it’s for attorneys or medical providers.

I paid someone $550 during 2010. Do I file a 1099-MISC?

No. The payment is below the $600 threshold, unless federal tax was withheld.

What's the difference between an independent contractor and an employee?

Employees get a Form W-2; independent contractors get Form 1099-MISC. Classification depends on control, independence, and relationship factors (see IRS Publication 15-A).

Can I file Form 1099-MISC electronically?

Yes. Required for 250+ forms, optional otherwise. The electronic deadline was March 31, 2011.

What if the recipient won't give me their Social Security number or TIN?

Begin backup withholding at 28% on future payments and still file the 1099-MISC, noting the missing TIN.

I'm a sole proprietor with no employees. Do I still need to file?

Yes, if you paid $600 or more to any individual or non-corporate entity for business-related services or rent.

What happens if I discover an error after filing?

File a corrected Form 1099-MISC immediately and provide corrected copies to both the IRS and the recipient.

Authoritative Sources

This guide is based exclusively on official Internal Revenue Service publications for the 2010 tax year:

2010 Instructions for Form 1099-MISC
2010 Form 1099-MISC
Available at IRS.gov

Frequently Asked Questions

Form 1099-MISC Miscellaneous Income – 2010 Tax Year Guide

Form 1099-MISC is the tax form businesses and individuals use to report various types of miscellaneous payments to the IRS. Think of it as a report card for income that doesn't come from regular wages—like rent you paid to a landlord, fees you paid to an independent contractor, or royalties you paid to an author. If you paid someone $600 or more during 2010 for certain services or income (or just $10 or more for royalties), you likely needed to file this form.

What the Form Is For

Form 1099-MISC serves as the IRS's way of tracking income that falls outside the traditional employer-employee relationship. Businesses, landlords, nonprofits, and even government agencies use it to report payments made during their trade or business activities. The form helps ensure that people who received these payments report them as income on their tax returns.

The 2010 version reports numerous types of payments across different boxes on the form. Common scenarios include paying rent to a property owner (Box 1), paying royalties to copyright holders (Box 2), compensating independent contractors for services (Box 7), or reporting gross proceeds paid to attorneys (Box 14). The form also covers less common payments like fishing boat proceeds, crop insurance proceeds, medical and healthcare payments to providers, and even prizes and awards.

It's crucial to understand that Form 1099-MISC is only required for payments made in the course of your trade or business. Personal payments don't need to be reported. For example, if you personally hired someone to paint your house, you don't file a 1099-MISC. But if your business hired that same painter, you would need to file one if you paid $600 or more.

When You'd Use This Form (Including Late or Amended Filings)

For the 2010 tax year, the standard filing deadlines were straightforward but varied depending on what you were reporting. You needed to furnish Copy B to the recipient (the person who received the payment) by January 31, 2011. However, if you were reporting substitute payments in lieu of dividends or interest (Box 8) or gross proceeds paid to attorneys (Box 14), the recipient deadline was extended to February 15, 2011.

For filing Copy A with the IRS, the paper filing deadline was February 28, 2011. If you filed electronically, you had until March 31, 2011—giving you an extra month. Electronic filing was required if you filed 250 or more information returns of any single type.

Late Filings and Corrections

If you missed the deadline or discovered an error after filing, you could file a late Form 1099-MISC at any time, though penalties might apply depending on how late you filed. The penalty structure in 2010 worked on a sliding scale: filing within 30 days of the deadline resulted in smaller penalties than filing months later or not filing at all.

To correct a mistake on an already-filed form, you'd file an amended Form 1099-MISC by checking the “CORRECTED” box at the top and completing the form with the correct information. You'd also need to provide a corrected copy to the recipient. Common reasons for corrections included wrong amounts, incorrect taxpayer identification numbers, or reporting income in the wrong box.

Key Rules for 2010

Several important rules governed Form 1099-MISC reporting in 2010.

Payment Thresholds and Reporting Boxes

The $600 threshold applied to most payment types—rents, services, prizes, awards, other income, medical payments, and nonemployee compensation.
Royalties and broker payments in lieu of dividends required only a $10 threshold.

The form distinguished between different types of income across 18 numbered boxes. Getting the payment in the correct box mattered because the IRS used this information to verify that recipients properly reported their income.

Corporate Exemption Rules

Generally, payments to corporations didn’t require reporting. However, exceptions included:

Medical and health care payments (Box 6)
Attorneys’ fees (Box 7)
Gross proceeds to attorneys (Box 14)
Substitute payments in lieu of dividends or interest (Box 8)

Federal executive agencies also had to report payments to corporate vendors for services.

Backup Withholding

Backup withholding at 28% applied when recipients failed to provide their taxpayer identification number (TIN) or the IRS notified you that the recipient provided an incorrect TIN. Report any withheld amounts in Box 4.

New for 2010: TIN Truncation

A privacy enhancement allowed truncating TINs on payee statements (showing only the last four digits). However, full TINs were still required on the IRS submission copy.

Step-by-Step Filing Process (High Level)

Filing Form 1099-MISC follows a logical sequence that begins well before the end of the tax year.

Step 1: Collect Information Throughout the Year

Use Form W-9 to collect recipient details and TINs early. Keep records of all payments made.

Step 2: Determine Who Needs a Form

After the year ends, identify all recipients meeting the $600 threshold ($10 for royalties). Exclude payments to corporations unless exceptions apply.

Step 3: Obtain the Correct Forms

Official scannable Copy A forms must be ordered from the IRS (not printed from the website). Recipient copies (Copy B and C) could be printed from IRS.gov.

Step 4: Complete Each Form Accurately

Enter payer and recipient information correctly. Use proper boxes for each payment type (e.g., Box 7 for nonemployee compensation).

Step 5: Provide Copies to Recipients

Send Copy B to recipients by January 31, 2011 (or February 15, 2011 for Boxes 8 and 14).

Step 6: File With the IRS

Submit Copy A and Form 1096 to the IRS by February 28, 2011 (paper) or March 31, 2011 (electronic).

Common Mistakes and How to Avoid Them

Missing or Incorrect TINs

Always collect and verify TINs using Form W-9. If mismatched, send a “B Notice” to request correction.

Wrong Box Reporting

Use the correct box to avoid misclassification. For example, use Box 7 (not Box 3) for contractor payments.

Ignoring Corporate Exceptions

Always file for attorneys and medical providers—even if they’re incorporated.

Missing the $600 Threshold Across Categories

Combine total payments per recipient across all categories to determine filing requirement.

Using Printable IRS Forms for Copy A

Never print Copy A from IRS.gov for filing. Only use official forms for IRS submissions.

Forgetting State Copies

Some states required their own copy (Copy 1). Check your state’s rules to avoid penalties.

What Happens After You File

After filing, the IRS matches your reports to recipients’ returns to verify accuracy.

Recipients use Form 1099-MISC data for their tax returns—contractors on Schedule C, landlords on Schedule E, etc.

If there’s an error or mismatch, the IRS may issue notices, or recipients may request corrected forms.

Penalties

Penalties ranged from $30 to $100 per form, increasing with delay. Intentional disregard triggered a $250 minimum penalty per form with no limit.

FAQs

Do I need to file Form 1099-MISC for payments to an LLC?

It depends on how the LLC is taxed:

Disregarded entity (sole proprietor): Yes, use the owner’s SSN.
Partnership: Yes, use the LLC’s EIN.
Corporation: Generally no, unless it’s for attorneys or medical providers.

I paid someone $550 during 2010. Do I file a 1099-MISC?

No. The payment is below the $600 threshold, unless federal tax was withheld.

What's the difference between an independent contractor and an employee?

Employees get a Form W-2; independent contractors get Form 1099-MISC. Classification depends on control, independence, and relationship factors (see IRS Publication 15-A).

Can I file Form 1099-MISC electronically?

Yes. Required for 250+ forms, optional otherwise. The electronic deadline was March 31, 2011.

What if the recipient won't give me their Social Security number or TIN?

Begin backup withholding at 28% on future payments and still file the 1099-MISC, noting the missing TIN.

I'm a sole proprietor with no employees. Do I still need to file?

Yes, if you paid $600 or more to any individual or non-corporate entity for business-related services or rent.

What happens if I discover an error after filing?

File a corrected Form 1099-MISC immediately and provide corrected copies to both the IRS and the recipient.

Authoritative Sources

This guide is based exclusively on official Internal Revenue Service publications for the 2010 tax year:

2010 Instructions for Form 1099-MISC
2010 Form 1099-MISC
Available at IRS.gov

Frequently Asked Questions

Form 1099-MISC Miscellaneous Income – 2010 Tax Year Guide

Form 1099-MISC is the tax form businesses and individuals use to report various types of miscellaneous payments to the IRS. Think of it as a report card for income that doesn't come from regular wages—like rent you paid to a landlord, fees you paid to an independent contractor, or royalties you paid to an author. If you paid someone $600 or more during 2010 for certain services or income (or just $10 or more for royalties), you likely needed to file this form.

What the Form Is For

Form 1099-MISC serves as the IRS's way of tracking income that falls outside the traditional employer-employee relationship. Businesses, landlords, nonprofits, and even government agencies use it to report payments made during their trade or business activities. The form helps ensure that people who received these payments report them as income on their tax returns.

The 2010 version reports numerous types of payments across different boxes on the form. Common scenarios include paying rent to a property owner (Box 1), paying royalties to copyright holders (Box 2), compensating independent contractors for services (Box 7), or reporting gross proceeds paid to attorneys (Box 14). The form also covers less common payments like fishing boat proceeds, crop insurance proceeds, medical and healthcare payments to providers, and even prizes and awards.

It's crucial to understand that Form 1099-MISC is only required for payments made in the course of your trade or business. Personal payments don't need to be reported. For example, if you personally hired someone to paint your house, you don't file a 1099-MISC. But if your business hired that same painter, you would need to file one if you paid $600 or more.

When You'd Use This Form (Including Late or Amended Filings)

For the 2010 tax year, the standard filing deadlines were straightforward but varied depending on what you were reporting. You needed to furnish Copy B to the recipient (the person who received the payment) by January 31, 2011. However, if you were reporting substitute payments in lieu of dividends or interest (Box 8) or gross proceeds paid to attorneys (Box 14), the recipient deadline was extended to February 15, 2011.

For filing Copy A with the IRS, the paper filing deadline was February 28, 2011. If you filed electronically, you had until March 31, 2011—giving you an extra month. Electronic filing was required if you filed 250 or more information returns of any single type.

Late Filings and Corrections

If you missed the deadline or discovered an error after filing, you could file a late Form 1099-MISC at any time, though penalties might apply depending on how late you filed. The penalty structure in 2010 worked on a sliding scale: filing within 30 days of the deadline resulted in smaller penalties than filing months later or not filing at all.

To correct a mistake on an already-filed form, you'd file an amended Form 1099-MISC by checking the “CORRECTED” box at the top and completing the form with the correct information. You'd also need to provide a corrected copy to the recipient. Common reasons for corrections included wrong amounts, incorrect taxpayer identification numbers, or reporting income in the wrong box.

Key Rules for 2010

Several important rules governed Form 1099-MISC reporting in 2010.

Payment Thresholds and Reporting Boxes

The $600 threshold applied to most payment types—rents, services, prizes, awards, other income, medical payments, and nonemployee compensation.
Royalties and broker payments in lieu of dividends required only a $10 threshold.

The form distinguished between different types of income across 18 numbered boxes. Getting the payment in the correct box mattered because the IRS used this information to verify that recipients properly reported their income.

Corporate Exemption Rules

Generally, payments to corporations didn’t require reporting. However, exceptions included:

Medical and health care payments (Box 6)
Attorneys’ fees (Box 7)
Gross proceeds to attorneys (Box 14)
Substitute payments in lieu of dividends or interest (Box 8)

Federal executive agencies also had to report payments to corporate vendors for services.

Backup Withholding

Backup withholding at 28% applied when recipients failed to provide their taxpayer identification number (TIN) or the IRS notified you that the recipient provided an incorrect TIN. Report any withheld amounts in Box 4.

New for 2010: TIN Truncation

A privacy enhancement allowed truncating TINs on payee statements (showing only the last four digits). However, full TINs were still required on the IRS submission copy.

Step-by-Step Filing Process (High Level)

Filing Form 1099-MISC follows a logical sequence that begins well before the end of the tax year.

Step 1: Collect Information Throughout the Year

Use Form W-9 to collect recipient details and TINs early. Keep records of all payments made.

Step 2: Determine Who Needs a Form

After the year ends, identify all recipients meeting the $600 threshold ($10 for royalties). Exclude payments to corporations unless exceptions apply.

Step 3: Obtain the Correct Forms

Official scannable Copy A forms must be ordered from the IRS (not printed from the website). Recipient copies (Copy B and C) could be printed from IRS.gov.

Step 4: Complete Each Form Accurately

Enter payer and recipient information correctly. Use proper boxes for each payment type (e.g., Box 7 for nonemployee compensation).

Step 5: Provide Copies to Recipients

Send Copy B to recipients by January 31, 2011 (or February 15, 2011 for Boxes 8 and 14).

Step 6: File With the IRS

Submit Copy A and Form 1096 to the IRS by February 28, 2011 (paper) or March 31, 2011 (electronic).

Common Mistakes and How to Avoid Them

Missing or Incorrect TINs

Always collect and verify TINs using Form W-9. If mismatched, send a “B Notice” to request correction.

Wrong Box Reporting

Use the correct box to avoid misclassification. For example, use Box 7 (not Box 3) for contractor payments.

Ignoring Corporate Exceptions

Always file for attorneys and medical providers—even if they’re incorporated.

Missing the $600 Threshold Across Categories

Combine total payments per recipient across all categories to determine filing requirement.

Using Printable IRS Forms for Copy A

Never print Copy A from IRS.gov for filing. Only use official forms for IRS submissions.

Forgetting State Copies

Some states required their own copy (Copy 1). Check your state’s rules to avoid penalties.

What Happens After You File

After filing, the IRS matches your reports to recipients’ returns to verify accuracy.

Recipients use Form 1099-MISC data for their tax returns—contractors on Schedule C, landlords on Schedule E, etc.

If there’s an error or mismatch, the IRS may issue notices, or recipients may request corrected forms.

Penalties

Penalties ranged from $30 to $100 per form, increasing with delay. Intentional disregard triggered a $250 minimum penalty per form with no limit.

FAQs

Do I need to file Form 1099-MISC for payments to an LLC?

It depends on how the LLC is taxed:

Disregarded entity (sole proprietor): Yes, use the owner’s SSN.
Partnership: Yes, use the LLC’s EIN.
Corporation: Generally no, unless it’s for attorneys or medical providers.

I paid someone $550 during 2010. Do I file a 1099-MISC?

No. The payment is below the $600 threshold, unless federal tax was withheld.

What's the difference between an independent contractor and an employee?

Employees get a Form W-2; independent contractors get Form 1099-MISC. Classification depends on control, independence, and relationship factors (see IRS Publication 15-A).

Can I file Form 1099-MISC electronically?

Yes. Required for 250+ forms, optional otherwise. The electronic deadline was March 31, 2011.

What if the recipient won't give me their Social Security number or TIN?

Begin backup withholding at 28% on future payments and still file the 1099-MISC, noting the missing TIN.

I'm a sole proprietor with no employees. Do I still need to file?

Yes, if you paid $600 or more to any individual or non-corporate entity for business-related services or rent.

What happens if I discover an error after filing?

File a corrected Form 1099-MISC immediately and provide corrected copies to both the IRS and the recipient.

Authoritative Sources

This guide is based exclusively on official Internal Revenue Service publications for the 2010 tax year:

2010 Instructions for Form 1099-MISC
2010 Form 1099-MISC
Available at IRS.gov

Frequently Asked Questions

Form 1099-MISC Miscellaneous Income – 2010 Tax Year Guide

Form 1099-MISC is the tax form businesses and individuals use to report various types of miscellaneous payments to the IRS. Think of it as a report card for income that doesn't come from regular wages—like rent you paid to a landlord, fees you paid to an independent contractor, or royalties you paid to an author. If you paid someone $600 or more during 2010 for certain services or income (or just $10 or more for royalties), you likely needed to file this form.

What the Form Is For

Form 1099-MISC serves as the IRS's way of tracking income that falls outside the traditional employer-employee relationship. Businesses, landlords, nonprofits, and even government agencies use it to report payments made during their trade or business activities. The form helps ensure that people who received these payments report them as income on their tax returns.

The 2010 version reports numerous types of payments across different boxes on the form. Common scenarios include paying rent to a property owner (Box 1), paying royalties to copyright holders (Box 2), compensating independent contractors for services (Box 7), or reporting gross proceeds paid to attorneys (Box 14). The form also covers less common payments like fishing boat proceeds, crop insurance proceeds, medical and healthcare payments to providers, and even prizes and awards.

It's crucial to understand that Form 1099-MISC is only required for payments made in the course of your trade or business. Personal payments don't need to be reported. For example, if you personally hired someone to paint your house, you don't file a 1099-MISC. But if your business hired that same painter, you would need to file one if you paid $600 or more.

When You'd Use This Form (Including Late or Amended Filings)

For the 2010 tax year, the standard filing deadlines were straightforward but varied depending on what you were reporting. You needed to furnish Copy B to the recipient (the person who received the payment) by January 31, 2011. However, if you were reporting substitute payments in lieu of dividends or interest (Box 8) or gross proceeds paid to attorneys (Box 14), the recipient deadline was extended to February 15, 2011.

For filing Copy A with the IRS, the paper filing deadline was February 28, 2011. If you filed electronically, you had until March 31, 2011—giving you an extra month. Electronic filing was required if you filed 250 or more information returns of any single type.

Late Filings and Corrections

If you missed the deadline or discovered an error after filing, you could file a late Form 1099-MISC at any time, though penalties might apply depending on how late you filed. The penalty structure in 2010 worked on a sliding scale: filing within 30 days of the deadline resulted in smaller penalties than filing months later or not filing at all.

To correct a mistake on an already-filed form, you'd file an amended Form 1099-MISC by checking the “CORRECTED” box at the top and completing the form with the correct information. You'd also need to provide a corrected copy to the recipient. Common reasons for corrections included wrong amounts, incorrect taxpayer identification numbers, or reporting income in the wrong box.

Key Rules for 2010

Several important rules governed Form 1099-MISC reporting in 2010.

Payment Thresholds and Reporting Boxes

The $600 threshold applied to most payment types—rents, services, prizes, awards, other income, medical payments, and nonemployee compensation.
Royalties and broker payments in lieu of dividends required only a $10 threshold.

The form distinguished between different types of income across 18 numbered boxes. Getting the payment in the correct box mattered because the IRS used this information to verify that recipients properly reported their income.

Corporate Exemption Rules

Generally, payments to corporations didn’t require reporting. However, exceptions included:

Medical and health care payments (Box 6)
Attorneys’ fees (Box 7)
Gross proceeds to attorneys (Box 14)
Substitute payments in lieu of dividends or interest (Box 8)

Federal executive agencies also had to report payments to corporate vendors for services.

Backup Withholding

Backup withholding at 28% applied when recipients failed to provide their taxpayer identification number (TIN) or the IRS notified you that the recipient provided an incorrect TIN. Report any withheld amounts in Box 4.

New for 2010: TIN Truncation

A privacy enhancement allowed truncating TINs on payee statements (showing only the last four digits). However, full TINs were still required on the IRS submission copy.

Step-by-Step Filing Process (High Level)

Filing Form 1099-MISC follows a logical sequence that begins well before the end of the tax year.

Step 1: Collect Information Throughout the Year

Use Form W-9 to collect recipient details and TINs early. Keep records of all payments made.

Step 2: Determine Who Needs a Form

After the year ends, identify all recipients meeting the $600 threshold ($10 for royalties). Exclude payments to corporations unless exceptions apply.

Step 3: Obtain the Correct Forms

Official scannable Copy A forms must be ordered from the IRS (not printed from the website). Recipient copies (Copy B and C) could be printed from IRS.gov.

Step 4: Complete Each Form Accurately

Enter payer and recipient information correctly. Use proper boxes for each payment type (e.g., Box 7 for nonemployee compensation).

Step 5: Provide Copies to Recipients

Send Copy B to recipients by January 31, 2011 (or February 15, 2011 for Boxes 8 and 14).

Step 6: File With the IRS

Submit Copy A and Form 1096 to the IRS by February 28, 2011 (paper) or March 31, 2011 (electronic).

Common Mistakes and How to Avoid Them

Missing or Incorrect TINs

Always collect and verify TINs using Form W-9. If mismatched, send a “B Notice” to request correction.

Wrong Box Reporting

Use the correct box to avoid misclassification. For example, use Box 7 (not Box 3) for contractor payments.

Ignoring Corporate Exceptions

Always file for attorneys and medical providers—even if they’re incorporated.

Missing the $600 Threshold Across Categories

Combine total payments per recipient across all categories to determine filing requirement.

Using Printable IRS Forms for Copy A

Never print Copy A from IRS.gov for filing. Only use official forms for IRS submissions.

Forgetting State Copies

Some states required their own copy (Copy 1). Check your state’s rules to avoid penalties.

What Happens After You File

After filing, the IRS matches your reports to recipients’ returns to verify accuracy.

Recipients use Form 1099-MISC data for their tax returns—contractors on Schedule C, landlords on Schedule E, etc.

If there’s an error or mismatch, the IRS may issue notices, or recipients may request corrected forms.

Penalties

Penalties ranged from $30 to $100 per form, increasing with delay. Intentional disregard triggered a $250 minimum penalty per form with no limit.

FAQs

Do I need to file Form 1099-MISC for payments to an LLC?

It depends on how the LLC is taxed:

Disregarded entity (sole proprietor): Yes, use the owner’s SSN.
Partnership: Yes, use the LLC’s EIN.
Corporation: Generally no, unless it’s for attorneys or medical providers.

I paid someone $550 during 2010. Do I file a 1099-MISC?

No. The payment is below the $600 threshold, unless federal tax was withheld.

What's the difference between an independent contractor and an employee?

Employees get a Form W-2; independent contractors get Form 1099-MISC. Classification depends on control, independence, and relationship factors (see IRS Publication 15-A).

Can I file Form 1099-MISC electronically?

Yes. Required for 250+ forms, optional otherwise. The electronic deadline was March 31, 2011.

What if the recipient won't give me their Social Security number or TIN?

Begin backup withholding at 28% on future payments and still file the 1099-MISC, noting the missing TIN.

I'm a sole proprietor with no employees. Do I still need to file?

Yes, if you paid $600 or more to any individual or non-corporate entity for business-related services or rent.

What happens if I discover an error after filing?

File a corrected Form 1099-MISC immediately and provide corrected copies to both the IRS and the recipient.

Authoritative Sources

This guide is based exclusively on official Internal Revenue Service publications for the 2010 tax year:

2010 Instructions for Form 1099-MISC
2010 Form 1099-MISC
Available at IRS.gov

Form 1099-MISC Miscellaneous Income – 2010 Tax Year Guide

What the Form Is For

When You'd Use This Form (Including Late or Amended Filings)

Late Filings and Corrections

Key Rules for 2010

Payment Thresholds and Reporting Boxes

Corporate Exemption Rules

Backup Withholding

New for 2010: TIN Truncation

Step-by-Step Filing Process (High Level)

Step 1: Collect Information Throughout the Year

Step 2: Determine Who Needs a Form

Step 3: Obtain the Correct Forms

Step 4: Complete Each Form Accurately

Step 5: Provide Copies to Recipients

Step 6: File With the IRS

Common Mistakes and How to Avoid Them

Missing or Incorrect TINs

Wrong Box Reporting

Ignoring Corporate Exceptions

Missing the $600 Threshold Across Categories

Using Printable IRS Forms for Copy A

Forgetting State Copies

What Happens After You File

Penalties

FAQs

Do I need to file Form 1099-MISC for payments to an LLC?

I paid someone $550 during 2010. Do I file a 1099-MISC?

What's the difference between an independent contractor and an employee?

Can I file Form 1099-MISC electronically?

What if the recipient won't give me their Social Security number or TIN?

I'm a sole proprietor with no employees. Do I still need to file?

What happens if I discover an error after filing?

Authoritative Sources

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Frequently Asked Questions

Related Articles

Form 1099-MISC Miscellaneous Income – 2010 Tax Year Guide

What the Form Is For

When You'd Use This Form (Including Late or Amended Filings)

Late Filings and Corrections

Key Rules for 2010

Payment Thresholds and Reporting Boxes

Corporate Exemption Rules

Backup Withholding

New for 2010: TIN Truncation

Step-by-Step Filing Process (High Level)

Step 1: Collect Information Throughout the Year

Step 2: Determine Who Needs a Form

Step 3: Obtain the Correct Forms

Step 4: Complete Each Form Accurately

Step 5: Provide Copies to Recipients

Step 6: File With the IRS

Common Mistakes and How to Avoid Them

Missing or Incorrect TINs

Wrong Box Reporting

Ignoring Corporate Exceptions

Missing the $600 Threshold Across Categories

Using Printable IRS Forms for Copy A

Forgetting State Copies

What Happens After You File

Penalties

FAQs

Do I need to file Form 1099-MISC for payments to an LLC?

I paid someone $550 during 2010. Do I file a 1099-MISC?

What's the difference between an independent contractor and an employee?

Can I file Form 1099-MISC electronically?

What if the recipient won't give me their Social Security number or TIN?

I'm a sole proprietor with no employees. Do I still need to file?

What happens if I discover an error after filing?

Authoritative Sources

Frequently Asked Questions

Form 1099-MISC Miscellaneous Income – 2010 Tax Year Guide

What the Form Is For

When You'd Use This Form (Including Late or Amended Filings)

Late Filings and Corrections

Key Rules for 2010

Payment Thresholds and Reporting Boxes

Corporate Exemption Rules

Backup Withholding