Jan 11
27
Definitely not everyone has heard of the 1099 Form, but even among the relatively few who have it is not usually acknowledged that several versions are available.
These several versions are used in situations even more special than the currently special ones that lead to using a 1099 series form initially.
The regular 1099 Form is filed by independent contractors, people or whole companies hired to carry out a one-time service or a task that’s not regarded as an essential section of the hiring company’s normal duties.
For instance, as opposed to fielding its own dedicated information technology staff, a small ad agency might decide to outsource such work to its webhost.
Variations of the standard 1099 Form exist to account for the peculiarities of different situations.
For example, the 1099-B is used for reporting redemptions and surrenders from certain non-retirement accounts, while the 1099-R can be used to report those from retirement accounts in the United States.
Other types consist of the 1099-A for attaining or abandoning secured property; the 1099-C for debt termination; the 1099-G for government payments; and the aptly named 1099-MISC for miscellaneous income.
Then there are curiosities like the RRB-1099 and also RRB-1099R for, respectively, payments and pensions by the Railroad Retirement Board.
The 1099 series of IRS forms even contains those whose names don’t bear the numerals “1099,” such as the 1042-S for the United States income of a foreigner and the SSA-1042S for social security benefits to nonresident aliens.
There’s even a W-2G for certain profits earned through gambling!
Regardless of version, all 1099 series forms are utilized to report calendar-year income, no matter the basis of the fiscal year used for other IRS purposes.
They must also be filed towards the end of February, not in the middle of April as with other federal tax forms.
