File Form 1099-MISC, Miscellaneous Income, for each person
in the course of your business to whom you have paid during the year:
- At least $10 in royalties or broker payments in
lieu of dividends or tax-exempt interest
- At least $600 in:
- Rents
- Services performed by someone who is not your
employee
- Prizes and awards
- Other income payments
- Medical and health care payments
- Crop insurance proceeds
- Cash payments for fish (or other aquatic
life) you purchase from anyone engaged in the trade or business of catching
fish
- Generally, the cash paid from a notional
principal contract to an individual, partnership, or estate
- Payments to an attorney.
- Any fishing boat proceeds
In addition, use Form 1099-MISC to
report that you made direct sales of at least $5,000 of consumer products to a
buyer for resale anywhere other than a permanent retail establishment.
You must
also file Form 1099-MISC for each person from whom you have withheld any
federal income tax under the backup withholding rules regardless of the amount
of the payment.
Be sure to report each payment in the proper box because the IRS uses
this information to determine whether the recipient has properly reported the
payment.
For more information, please see
Form 1099-MISC instructions
here
or comment back if I can be of more assistance.
