Who files a 1099-NEC : The provider or the receiving party

Forum|Forum|6 months ago
January 20, 2026
1 reply
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I am managing a farm through a Revocable Living Trust. I have used and paid invoices during the 2025 tax year for legal services/advice and farm appraisal fees. Both invoices significantly exceeded the $600 threshold. Both companies are well established businesses.

As a manager of the trust do I fill out the 1099-NEC or do they. Since they are well established businesses can I just claim the legal and appraisal expenses on the trust tax forms as a cost of doing business. If a 1099-NEC is needed, I guess one needs to obtain their EIN # for the form. Correct?

Not A Product Question

Best answer by Opus 17

Expert Reviewed

The 1099-NEC is filed by a business who pays more than $600 in a year to another person or business. But, you do not issue a 1099 to an S- or C-corp. And I'm not 100% sure that trusts are required to issue 1099s, but would not be surprised if they are. See "Who must file" in the general instructions to see if you are covered.

https://www.irs.gov/instructions/i1099gi

If you are required to file, you would give each entity that you paid more than $600 a W-9 form to have them send back with their name, address and tax ID number. They would also indicate on that form that they are an S- or C-corp and are exempt from the filing requirement.

Once you determine to whom you owe a 1099, you can file those electronically through Turbotax or another provider. You would generate a copy for yourself, a copy for the payee, and a copy for the IRS, plus a form 1096, which summarizes and totals all the 1099s you issued.

O

Opus 17

Answer

Level 15

Expert Reviewed

The 1099-NEC is filed by a business who pays more than $600 in a year to another person or business. But, you do not issue a 1099 to an S- or C-corp. And I'm not 100% sure that trusts are required to issue 1099s, but would not be surprised if they are. See "Who must file" in the general instructions to see if you are covered.

https://www.irs.gov/instructions/i1099gi

If you are required to file, you would give each entity that you paid more than $600 a W-9 form to have them send back with their name, address and tax ID number. They would also indicate on that form that they are an S- or C-corp and are exempt from the filing requirement.

Once you determine to whom you owe a 1099, you can file those electronically through Turbotax or another provider. You would generate a copy for yourself, a copy for the payee, and a copy for the IRS, plus a form 1096, which summarizes and totals all the 1099s you issued.