Happy Tip Tuesday!
Are you a business owner? Did you know that the IRS requires that a Form 1099 be sent to each independent contractor who provided at least $600 worth of services to your business in 2017? The deadline for businesses to send out 1099s is 1/31/18. This deadline is to ensure that the contractor receives the 1099 in time to include it in her/his own tax return to record income generated. The contractor receives one copy AND the IRS receives a copy.
This is important AND there are exceptions (electronic payments) and rules (based on contractor’s company formation type) so please refer to the IRS website or contact your accountant for full details.
Here is a link: IRS WEBSITE
There are hundreds of things to remember when running a business so I urge you to enlist the advice of tax and legal professionals to ensure that you are compliant with state and federal requirements.
If reading this is making you nervous, TAKE A DEEP BREATH and contact me to help you alleviate your concerns. My goal is to make things easier for innovators and business owners because I have BEEN THERE and it is important to collaborate with experts. I now offer a Power Hour for brainstorming and to provide “tune ups” to make sure that you and your biz are on track so contact me to schedule your call. firstname.lastname@example.org
PS: While I am not a CPA or attorney, I retain both to help me run my businesses so I know how and when to engage these specialists!