What is 1099-NEC

What

1099NEC – Nonemployee compensation form

Who

-To send – Business who paid to nonemployee/vendor over $600 total in 2022 for services provided

-To receive – sole proprietor/LLC who provided the services to a business and has been paid by check/ACH/cash.

When

By January 31st of each year for the prior calendar year

How

Filing online using the accounting software or mail to IRS and mail a copy to the vendor

Why

Income tax or social security and Medicare tax weren’t withheld from the payment transaction

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Info was taken from official IRS website – https://www.irs.gov/forms-pubs/about-form-1099-nec

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What is 1099-NEC

What

Who

When

How

Why

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