1099 MISC Instructions

Form 1099-MISC, Miscellaneous Income is the information return that reports various types of income paid during the tax year. Everyone in the United States that made the types of payments exceeding $600 during the tax year must fill out and file 1099-MISC with the recipient of the payment, IRS, and state tax department of the recipient’s resident.

Start filing Form 1099-MISC 2022

Although there are other kinds of 1099s that report different types of payments, 1099-MISC is the most commonly used information return among them as it states a wide variety of income. You can fill out 1099-MISC to report the following, as described on the IRS website.

  • Any fishing boat proceeds
  • Cash payments for fish you purchase from anyone engaged in the trade or business of catching fish
  • Crop insurance proceeds
  • Generally, the cash paid from a notional principal contract to an individual, partnership, or estate
  • Medical and health care payments
  • Other income payments
  • Payments to an attorney
  • Prizes and awards
  • Rents

For each of these boxes above, there is a dedicated box to enter the payment information.

Box 1: Enter rents.

Box 2: Enter royalties.

Box 3: Enter other income, not described in any of the boxes.

Box 4: Enter the federal income tax withheld.

Box 5: Enter the fishing boat proceeds.

Box 6: Enter medical and health care payments. You can enter the portion of the medical payments proportional to the full payment.

Box 7: If the payer (you) made direct sales totaling more than $5,000 of consumer products to the recipient for resale, check the box.

Box 8: Enter the substitute payments in place of dividends and interest.

Box 9: Enter the crop insurance proceeds.

Box 10: Enter the total gross proceeds paid to an attorney.

Box 11: Enter the money amount of the fish purchased for resale. 

Box 12: Enter Section 409A deferrals, if any.

Box 13: Enter the excess golden parachute payments.

Box 14: Enter the nonqualified deferred compensation. You’ll need to figure out the exact amount as it’s important. 

Box 15: Enter the state income tax withheld.

Box 16: Enter the state or the payer’s state identification number.

Box 17: Enter the income paid to the recipient that’s subject to state income taxes. 

Comonly asked questions about Form 1099 MISC

Where to send copies of Form 1099-MISC?

After filling out Form 1099-MISC, file the form with the Internal Revenue Service using Form 1096, the recipient, and the state tax department. If you’re residing in a state other than where the recipient lives, file it with the state tax department that the recipient is residing. 

Can I file Form 1099-MISC electronically?

It’s easy to file Form 1099-MISC with all three places you need to file through tax preparation services. If you’re filling out a paper or online copy of Form 1099-MISC, you’ll need to send the forms physically by mail, as online filing only replaces entering the amounts and other relevant information on paper. 

When is the deadline to file Form 1099-MISC?

Form 1099-MISC due date is similar to other Forms 1099. You have to file the form with the recipient by January 31st to ensure that they can file their federal income tax returns on time. The deadline to file with the IRS and state tax departments is February 28th if you’re submitting a paper form and March 31st if you’re filing electronically. 

 

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