According to my records I paid her less than $600.00
TurboTax online says:
If you paid an independent contractor or other nonemployee $600 or more for services they performed for your trade or business, you’ll need to issue them a 1099-NEC. You’ll also need to file this info with the IRS to report this payment.
Example: Riley's a web designer and hires a freelance writer, Jo, to write content for one of their web projects. Jo charges Riley $1,000 for this work. Riley must send Jo a 1099-NEC to report the income they paid Jo, since it’s at least $600.
These situations are less common, but you'll need to fill out a 1099-MISC if, during the course of business, you've paid:
- At least $10 in royalties or broker payments instead of dividends or tax-exempt interest
- You paid someone more than $600 in rents, prizes and awards, other income payments, fishing proceeds, payments to an attorney, medical and health care payments, crop insurance proceeds, Section 409A deferrals, or nonqualified deferred compensation
- You sold at least $5,000 of consumer products to an individual on a buy-sell, deposit-commission, or other similar commissions basis for resale
When you do your taxes with TurboTax, we’ll tell you how to fill out a 1099-NEC or a 1099-MISC.
Do I still need to send it?
Edit. It appears I chose a bubble that says I paid $600 or more and that’s not the case. But it’s good to know for future reference. Thank you!
