Self employment tax

Hi,

I am currently self employed and I work in many buildings in NYC where I have hire architects and engineers for DOB filings. I get paid in personal checks from my clients and I deposit those checks in my personal bank account. I do have a company registered with the state etc. but I don't use it.

When I pay architects and/or engineers from my personal bank account, am I obligated to give them a 1099 form? Or how does this tax process for hiring independent contractors work? Am i responsible for claiming their taxes?

Thank you for your advice.

posted

@ehaqueny wrote:
When I pay architects and/or engineers from my personal bank account, am I obligated to give them a 1099 form?

Yes, with limited exceptions, you have to issue a 1099-MISC if the payment is made in the course of your trade or business and the amount is $600 or more.

See https://www.irs.gov/instructions/i1099msc#idm139665634605616