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Level 3
posted Jan 17, 2021 12:59:03 PM

Can I file one Summary 1096 for all the 1099NECs for two businesses, my Schedule E ( paid a contractor in rental activities), and payments to lawyers?

I have paid 10 Consultants for my two schedules Cs and a contractor for my rental and have payment to lawyers from my personal account. Could all these payments be summarized in one 1096 for 2020?

0 3 1139
3 Replies
Expert Alumni
Jan 18, 2021 9:14:46 AM

Each filing entity needs to file the Form 1096.  The name, address, identification number on the Form 1096 must match the same information on the Forms 1099-NEC.  Assuming the forms are all being filed by you using your social security number or one single EIN you only need to file one Form 1096 for each type of form your are filing, even if only 1 document of a type. 

 

For example, if you, using your social security number are filing 5 - Forms 1099-NEC and 1 Form 1099-Misc.  You need two Forms 1096; one for each type. 

 

If you have an EIN for the business(s) and also use your social security number for the rental business, for example, you would need to separate by filing entity with each filing a Form 1096 for each different type of 1099 form. 

 

Here is a link for reference.  See paragraph E.  

 

[Edited 1/18/2021 4:22pm]

Level 3
Jan 20, 2021 8:39:33 AM

 Thankj yiu for your response. I am really thankful. I have paid lawyers for my grandson's custody fee and some unrelated business. legal expense. Should I also issue 10990-NEC for the lawyers, no matter what the amount is??

Expert Alumni
Jan 23, 2021 1:38:24 PM

You don't need to report the legal fees you personally paid for your Grandson's custody case. The use of a 1099-NEC is only required when payments are made within the course of doing business.