1099-Misc and 1096 Annual Summary:
By January 31st of each year the IRS requires business owners to furnish 1099MISC to independent contractors and professionals that have been paid at least $600 in any of the following on a calendar year:
- 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; or
- any fishing boat proceeds
1096 Annual Summary & Transmittal of U.S. Information Returns
The form 1096 is a summary of all the 1099 – MISC prepared for a specific year.
1099 – INT is used to report interest income for each person who has received at least $10 or for whom you withheld and paid any foreign tax on interest, or from whom you withheld any federal income tax under the backup withholding rules regardless of the amount of the payment. For instance, if a shareholder of a corporation has received a loan from the entity, the corporation should charge the shareholder interests on the loan and issue this form if it paid at least $10 of interest during the year to the shareholder.
W2s and Quarterly Payroll Forms
If you process manual payroll for your employees at your place your business we can prepare the annual W2 forms and e-file them to the corresponding government agencies for you.
We can also process and e-file the quarterly payroll forms 941, Employer’s Quarterly Federal Tax Return and NYS45, Quarterly Combined Withholding, Wage Reporting, and Unemployment Insurance Return to the IRS and New York State.