Can we file 1099-MISC early for corporation dissolving in January 2016 (& making final contractor payments) instead of waiting until 2017 to remember? Same process? Thnx!

[bagglebee]

We just don't want to put a small project (such as generating 5 or less 1099-MISC's) on the back burner for so long and wait until 2017 to do them, so I was just wondering if we can simply file the forms for just the partial year (should only be one final payment). We just wanted to know if this is acceptable with the IRS/if it's been done/ or if it's an absolute no-no. Appreciate the help.

[VolvoGirl]

Well the IRS does have the 2016 blank forms on their website.  You can fill them out by hand.  I guess you could give them out and mail them to the IRS after January.  You will need the 1096 Transmittal Summary too.

Here is the 2016 forms, <a rel="nofollow" target="_blank" href="https://www.irs.gov/pub/irs-pdf/f1099msc.pdf">https://www.irs.gov/pub/irs-pdf/f1099msc.pdf</a>
1096 for 2016  <a rel="nofollow" target="_blank" href="https://www.irs.gov/pub/irs-pdf/f1096.pdf">https://www.irs.gov/pub/irs-pdf/f1096.pdf</a>

[Opus 17]

I'm sure you can do a 2016 1099-MISC before January 2017, I'm just not sure when.  If you wanted to do it through Turbotax, you might need to wait for the 2016 program to become available in November.  There are web sites that will e-file 1099s for you for less than $5 each; not sure when they will have 2016 forms available.

[dmertz]

Note that if the Forms 1099-MISC and 1096 are to be mailed to the IRS, official IRS printed forms obtainable from the IRS are required.  Forms printed from .pdf files downloaded from the IRS are not acceptable.

<a rel="nofollow" target="_blank" href="https://www.irs.gov/Forms-&-Pubs/Order-Products">https://www.irs.gov/Forms-&-Pubs/Order-Products</a>

Also note that 2016 Forms 1099 provided to payees before the end of the 2015 filing season could by confused by the payee as being 2015 forms and incorrectly reported on their 2015 tax returns.

[MargaretL]

While above comments are absolutely valid and beneficial, please consider the following:

IRS instructions for 2015 Information Returns (such as Forms 1099) specifically say to file by May 31, 2016. 

While you may prepare them sooner – by ordering them online in the link provided by dmertz- I don’t recommend them filing early, as it may create unnecessary correspondence with the IRS. The IRS is not open for any future tax years; they may ask for additional information, they may ask to check if you are underreporting your 2015 income by deducting those early payments, or the forms may get simply “lost”.

If you are a cash–basis Corporation, you are supposed to deduct your expenses (such as 1099-misc contract labor) in the year you pay them.  The corporation is dissolving in Jan, 2016, and I’m assuming the contract payment is also for 2016. The IRS may want to make sure you are reporting all your income and expenses in the correct year.  

[dmertz]

Paper Forms 1099 are to be filed by the end of February, not the end of May.  (The end of May is the deadline for Forms 5498.)  For paper 2016 Forms 1099-MISC, that would be February 28, 2017.  Copies of these are required to be sent to the payees by January 31, 2017.

[MargaretL]

Yes, thank you for pointing that out : "File Forms 1097, 1098, 1099, 3921, 3922, or W-2G on
paper by February 29, 2016, or March 31, 2016, if filing electronically. Also file Form 1096 with paper forms. File
Form 1096 with Forms 5498, 5498-ESA, and 5498-SA by May 31, 2016."

[Opus 17]

Although it's not a bad idea to prepare them early but mail them later.