Can a single member llc issue a 1099-nec to their spouse?

[dvdgarofalo]

I have a single member LLC. My wife and I are both in the same profession. (Real Estate Brokers) Here license is under mine. In general real estate brokers/agents are treaed as subcontractors. For tax purposes, am I correct that I can treat her as any other agent (independent contractor) and issue her a 1099-NEC? We both have filed separate Sch-C's for well over 10 years.

[Anonymous_ · Accepted solution]

Although there are different courses of action available, it is generally acceptable (given the facts you provided) to treat your spouse as an independent contractor and issue your spouse a 1099-NEC.