One of the reasons I love your training videos is that you are able to make topics that are sometimes overwhelming clear and easy to understand. The 1099 cheat sheet is super helpful! Thank you!!
I still do not understand what line from the W9 corresponds to the lines on the 1099. We are trying to determine how the remit information corresponds. We set-up our vendor payable names according to who the invoice says to pay even if they have a parent company listed on the W9. If line 2 gives a different name that matches the invoice remit information, that is the name we use.
Regarding debit card. the payments are made directly from the business bank account using the check cards (debit cards) still don't need to report? I'm using QBO 1099 filling it maps PayPal and credit card but it's still showing the debit card transactions.
Based on the IRS instructions, debit card payments are not subject to 1099's. I don't recommend using QBO's 1099 filing since you can't fully control the transactions that it pulls. Also, there isn't a way in QBO to indicate that a payment was made via debit card.
Veronica, I am a new real estate brokerage and I paid out another brokerage their split of the commission. They sent me their W-9 and they have two business names line 1 and 2 which name would you enter on a 1099-NEC and they are checking the box as an S-corp. I see that in your video that you stated S-corps are not eligible to receive a 1099-NEC. Do I need to send them anything?
Thank you so much. I am still not fully understand the difference between 1099 Misc and 1099 NEC. Would you please help me on a briefly explain and example? Much appreciated.
Box 7 of the 1099 MISC (non-employee compensation) has not been moved to 1099-NEC. Everything you would report on the 1099 MISC is still reported on that form.
The form 1099 NEC is red on the top sheet and is attached to five separate duplicate forms (they fill in from pressure of typewriter on first page). Do I fill it in by hand or am I supposed to find a typewriter??
I don't recommend using 1099 paper forms. You can use a 1099 service online like Track1099 or Tax1099 to electronically fill out and submit 1099 forms.
My husband’s business is a S-Corp. He paid subcontractors who are also S-Corp. In your video, you stated that they do not receive Form 1099 NEC. But is my husband’s S-Corp required to file or report 1099 NEC to IRS, and if so, how do we go about doing it?
Your husband's company is only required to send 1099-NEC forms to people who qualify to receive it. If the contractors are all set up as Scorps, then your husband's company would not be required to send them 1099-NEC's.
@@5MinuteBookkeeping So my husband just reports the payments to those subcontractors when he files his taxes? He does not need to file or report them to IRS by January 31?
Veronica - thank you for this brief teaching on the 1099 NEC process. It is perfect! You are a gem!
You are so welcome!
One of the reasons I love your training videos is that you are able to make topics that are sometimes overwhelming clear and easy to understand. The 1099 cheat sheet is super helpful!
Thank you!!
Thank you Denise. Glad it was helpful.
Loved the cheat sheet
Thank you Hector!
I'm late to the party but agree with what everyone is saying below. Great video, you made it simple and clear. Many thanks!
Glad it was helpful!
This is really, really good. I really appreciate how you pointed out the boxes on the W-9 that require the 1099.
Glad it was helpful!
Great overview Veronica! And thanks for the additional links and the cheat sheet.
You're welcome.
This is so great! Very helpful and I love how simple you made the instructions, as well as the cheat sheet. Thanks!
You're welcome.
Thanks for sharing. Very helpful!
You're welcome.
Best tutorial video on this subject I've seen. Thank you for the cheat sheet, makes it helpful to follow along with your tutorial. :)
Thank you!
Veronica, Great presentation. very well explained. Made it simple. Love the cheat sheet
Glad it was helpful.
Thanks for the presentation & cheat sheet.
You're welcome, Daniel.
Thank you! As always very useful!
Glad to hear that!
Awesome video and very well explained. Thank you for sharing your expertise.
Thank you Steve!
I still do not understand what line from the W9 corresponds to the lines on the 1099. We are trying to determine how the remit information corresponds. We set-up our vendor payable names according to who the invoice says to pay even if they have a parent company listed on the W9. If line 2 gives a different name that matches the invoice remit information, that is the name we use.
Take a look at this video from the IRS website starting at 1:11 www.irsvideos.gov/Individual/Resources/HowToCompleteFormW-9
Thanks for this! Super helpful!
You're welcome!
Great video. I have a question, how about if your workers are from the Philippines? What form or do they have form need to fill out?
Hi Divine. I don't know the answer to that.
Regarding debit card. the payments are made directly from the business bank account using the check cards (debit cards) still don't need to report? I'm using QBO 1099 filling it maps PayPal and credit card but it's still showing the debit card transactions.
Based on the IRS instructions, debit card payments are not subject to 1099's.
I don't recommend using QBO's 1099 filing since you can't fully control the transactions that it pulls. Also, there isn't a way in QBO to indicate that a payment was made via debit card.
@@5MinuteBookkeeping What if I paid my attorney fees using a debit card? Do I still need to send them a 1099NEC?
This is so helpful, thank you
Glad it was helpful!
Veronica, I am a new real estate brokerage and I paid out another brokerage their split of the commission. They sent me their W-9 and they have two business names line 1 and 2 which name would you enter on a 1099-NEC and they are checking the box as an S-corp. I see that in your video that you stated S-corps are not eligible to receive a 1099-NEC. Do I need to send them anything?
An S-corp is not eligible to receive a 1099.
thank you very helpful
You're welcome Russell.
What goes in box 6 of 1099-NEC? I live in Louisiana and have state taxes but do not have a state tax ID number.
I am not familiar with Louisiana state tax laws. You should consult with your tax preparer.
Thank you for the helpful video! If the recipient fills out Both box 1 and 2 on the w9, which one do we use for the 1099NEC name? Thanks!
I would use both, such as: Jane Smith dba Jane's Design
Thank you so much.
I am still not fully understand the difference between 1099 Misc and 1099 NEC. Would you please help me on a briefly explain and example? Much appreciated.
Box 7 of the 1099 MISC (non-employee compensation) has not been moved to 1099-NEC. Everything you would report on the 1099 MISC is still reported on that form.
I am a bookkeeper do I need to provide W-9 to my clients because my clients paying me more than $600 for providing bookkeeping service to my client.
In the US, independent contractors should complete the W-9 form, that includes bookkeepers.
The form 1099 NEC is red on the top sheet and is attached to five separate duplicate forms (they fill in from pressure of typewriter on first page). Do I fill it in by hand or am I supposed to find a typewriter??
I don't recommend using 1099 paper forms. You can use a 1099 service online like Track1099 or Tax1099 to electronically fill out and submit 1099 forms.
My husband’s business is a S-Corp. He paid subcontractors who are also S-Corp. In your video, you stated that they do not receive Form 1099 NEC. But is my husband’s S-Corp required to file or report 1099 NEC to IRS, and if so, how do we go about doing it?
Your husband's company is only required to send 1099-NEC forms to people who qualify to receive it. If the contractors are all set up as Scorps, then your husband's company would not be required to send them 1099-NEC's.
@@5MinuteBookkeeping So my husband just reports the payments to those subcontractors when he files his taxes? He does not need to file or report them to IRS by January 31?
@@long1034 I believe I answered your question already. Scorps do not receive 1099-NEC's.
@@5MinuteBookkeeping Thank you
gracias
De nada!