1099 Forms E-File 1099 MISC Online for the 2023 Tax Year

Image of Form 1099-MISC 2023

What is IRS Form 1099 MISC?

The IRS utilizes Form 1099-MISC to document miscellaneous payments made to self-employed individuals throughout a calendar year. This Form covers rent, fishing boat proceeds, medical and health care payments, prizes, awards, and more. A recipient copy must be delivered of Form 1099-MISC. For more information about IRS Form 1099-MISC, check out our detailed guide to avoid potential fines.

Please note: the IRS has implemented several updates to Form 1099-MISC for the 2022 tax year that could lead to incorrect data in future years.

Who Needs to File Form 1099-MISC?

The IRS requires Form 1099-MISC if payment amounts have been sent out to individuals who are not on your W-2 payroll during the year. A Form 1099-MISC will be required under the following circumstances:

If a payer has issued payments to recipients who are not their employees under these conditions, Form 1099-MISC must be submitted to the IRS:

At least $10 is paid in royalties or broker payments as a substitute for dividends or tax-exempt interest.

  • A minimum of $10 is paid in royalties or broker payments in lieu of dividends or tax-exempt interest.
  • A minimum of $600:
    • Rents
    • Prizes and awards
    • Other income payments
    • Medical and health care payments
    • Payments to an attorney
    • Crop insurance proceeds
    • Cash paid from a notional principal contract to an individual, partnership, or estate
    • Fishing boat proceeds
    • Section 409A deferrals
    • Nonqualified deferred compensation

If the criteria is met from above, filing Form 1099-MISC is required.

In addition, use Form 1099-MISC to record payments made for direct sales over $5,000 of consumer products designated for resale in places other than permanent retail establishments. If the payment is under $600 and includes any federal income tax withheld under backup withholding, it is still necessary to report the entire payment using Form 1099-MISC.

Import Your Form 1099-MISC Data

You can import your data as Excel, XML, or use files from popular payroll providers like QuickBooks, UKG, ADP, and many more.

Step-By-Step Wizard

We walk you through the process with no complicated jargon. You can also live chat with a real person as you work on your filing for hands-on help.

E-File & Mail Employee Copies

Once your data is loaded, you can e-file and distribute employee copies in minutes.

There is no additional fee for filing prior-year 1099 tax forms with BoomTax; you can e-file at the same affordable rate as current-year forms.

Payments not reported on Form 1099-MISC:

  • Payments made to corporations.
  • Income earned by employees.
  • Payments are made to tax-exempt organizations in the United States, a U.S. territory, the District of Columbia, or a foreign government.

For more details about Form 1099 MISC, visit irs.gov.

Who Is Required To File Form 1096?

Form 1096 is necessary for those filing U.S. Information Returns. This Form, titled "Annual Summary and Transmittal of U.S. Information Returns," summarizes 1099-MISC forms submitted to the IRS. However, Form 1096 is only required if you submit 1099 Forms via paper. If you choose to file 1099-MISC Forms electronically, Form 1096 is not needed.

Is it mandatory to file Form 1099 MISC With The State?

The state may require a copy of Form 1099-MISC, depending on each state's specifications. Some states require payers to submit Form 1099-MISC only if any state tax was withheld from the 1099-MISC payment. Make sure to check your state filing requirements for compliance.

For the 2023 tax season two states have joined the CFSF program, Pennsylvania & District of Columbia.

What are the 1099 Deadlines for 2024?

  • January 31st, 2024
    Recipient Copies

    Form 1099s must be distributed to the recipient on or before January 31st

  • February 28th, 2024
    Paper Filing

    Paper filing must be filed with the IRS on or before February 28th

  • April 1st, 2024

    Form 1099s must be e-filed directly to the IRS on or before April 1st

Visit our deadlines article to learn more about Form 1099 due dates.

Note: If the filing deadline lands on a Saturday, Sunday, or legal holiday, the due date will automatically be extended to the following business day.

The exception to these deadlines above is for filing Form 1099-NEC. Depending on the filing method, there is a month's advancement on the recipient and IRS copies being January 31st. Get started with BoomTax and file your 1099 with the IRS, state, and mail recipient copies on time.

If you find errors after filing your 1099 return with the IRS, promptly correct the information and submit the corrected Form 1099 and Form 1096 to the IRS. Also, provide your recipient with an updated 1099 showing the updated details. If you need to correct any state or local tax department information, file the form with the appropriate agencies, not the IRS.

How To Manually Fill Out A 1099-MISC Form?

Form 1099-MISC consists of 18 distinct sections or boxes.

Sections For Entering Payer Information

Image of Form 1099 Payer Boxes 2023

Complete the Payer Details section. This includes:

  • Name
  • Address
  • Contact phone number
  • Tax Identification Number (TIN)

Sections For Entering Recipient Information

Image of Form 1099 Recipient Boxes 2023

Complete the Recipient Details section. This includes:

  • TIN
  • Name
  • Street Address
  • City, State, Zip

Second TIN Notification Checkbox

If you have been notified twice within three  tax years that the recipient provided an incorrect TIN for filing Form 1099-INT, an “X” can be marked in this box. By checking this box, the IRS will cease sending you notifications for this account. Continue recording the interest payments made to the recipient and state if you withheld any taxes from the recipient.

Amount boxes for Form 1099-MISC

Image of Form 1099-MISC Boxes 2023

Box 1 Rents

Include the amounts paid for rent (excluding payments to corporations).

Box 2 Royalties

Report any royalty payments of at least $10 from oil, gas, mineral properties, or intellectual property made to individuals during the year.

Box 3 Other Income

Enter $600 or more payments from prizes, awards, or research studies.

Box 4 Federal Income Tax Withholding

Report any taxes withheld under Backup withholding due to incorrect TINs provided. The withheld amounts are related to the payments reported in boxes 1 and 2.

Box 5 Fishing Boat Proceeds

Include the earnings from fishing activities.

Box 6 Medical and Health Care Payments

Document payments made to physicians, suppliers, medical and healthcare services providers, and medical and healthcare insurers under health, accident, and sickness insurance programs However, exclude payments made to pharmacies for prescription drugs.

Box 7 Payer made direct sales totaling $5,000 or more of consumer products to the recipient for resale

Mark this Box if the payer sold consumer products with a total value of $5,000 or more for resale or buy-sell purposes.

Box 8 Substitute Payments In Lieu Of Dividends Or Interest

Enter the total payments of $10 or more made by brokers for dividends or tax-exempt interest as a loan.

Box 9 Crop Insurance Proceeds

Report crop proceeds totaling $600 or more, which were paid to a farmer by an insurance company, except when the farmer has notified the insurer that expenses have been capitalized per sections 447, 263A, or 278.

Box 10 Gross Proceeds Paid to an Attorney

Record the total amount of $600 or more paid to an attorney for legal services.

Box 11 Fish Purchased for Resale

Payers should report the amount spent on fish purchased for resale in this Box.

Box 12 Section 409A Deferrals

Incorporate the current-year deferrals for a nonemployee under a nonqualified deferred compensation (NQDC) plan, subject to section 409A, as any earnings on the current and previous-year deferrals.

Box 13 FATCA Filing Requirement

Check this box if the payer is using Form 1099-MISC to fulfill their Chapter 4 account reporting requirement. Include the payments made to the recipient and any taxes withheld from those payments.

Box 14 Excess Golden Parachute Payments

Report any excess golden parachute payments subject to a 20% excise tax.

Box 15 Nonqualified Deferred Compensation

Record payments made under a nonqualified deferred compensation (NQDC) plan that does not meet the requirements of section 409A. Any reportable payment in Box 12 that is currently taxable should also be included in this Box.

Box 16 - 18 State or Local Income Tax Withheld

Image of Form 1099 State Boxes 2023

Report any state or local income tax withheld from the payments made to the recipient.

To learn more about Form 1099-MISC Instructions, Click here.

What are the different Form 1099 Copies?

Each Form 1099 has five different copies with their specific purpose:

Copy A

IRS copy for paper filing.

Copy 1

Filed with the State Tax Department.

Copy B

Recipient copy.

Copy 2

Recipient state copy used for state income tax reporting.

Copy C

Payer's copy for their records.

Get started with , and file your 1099 tax forms with federal/state and mail recipient copies from one place. BoomTax will never remove past years' filings, and you can continue to make corrections at any time, no matter the year. File my Now!

What are the Types of 1099 Corrections?

Suppose you have any mistakes on your previously submitted Form 1099. In that case, rectifying them, submitting an amended form to the IRS, and providing the updated forms to the recipient is essential.

Employers can address two distinct types of errors in Form 1099 corrections, Type 1 and Type 2:

Type 1

Type 1 errors involve:

  • Reporting inaccurate payment amounts
  • Utilizing incorrect codes
  • Not filing for the appropriate recipient

Type 2

Type 2 errors involve:

  • An omitted or incorrect payee TIN
  • An omitted or incorrect payee Name
  • Filing the return using an improper form

You must file Form 1096 with the corrected return unless you're filing the correction electronically.

Ready to file your 1099 correction electronically? and auto-generate Form 1096 for your records at no extra cost. With BoomTax, you can also send the corrected copies to your recipient.

Correctly a previously filed 1099-MISC to the IRS?

If you need to correct a Form 1099-MISC that has already been filed with the IRS, it's important to correct the errors as soon as possible. To correct a Form 1099-MISC, submit Copy A and Form 1096 (only if paper filing) to the IRS. After the form has been resubmitted to the IRS, don’t forget to provide the corrected copies to the recipient(s).

To correct a previously filed Form 1099-MISC, use a new Form 1099-MISC and place an "X" in the "CORRECTED" checkbox at the top. After inputting the newly corrected information into the form, the submission process is the same as submitting an original to the IRS.

If the error is because of an incorrect TIN/ID, the payer must include a written statement with the form to the IRS.

Obtaining an Extension for IRS 1099-MISC Filing

If you require additional time to submit Form 1099-MISC, you can apply for an automatic 30-day extension by filing Form 8809. To learn more about the 1099 MISC extension process, Click here.

What is the Penalty for Missing Form 1099 Deadline?

Failing to file Form 1099 by the deadline or meeting the deadline but providing incorrect recipient information can result in IRS penalties ranging from $60 to $630, depending on how late the form is submitted. The IRS has increased the penalty amounts for the 2024 filing year.

After the deadline, but within 30 days

$60 per form

After 31 days - August 1st

$120 per form

After August 1st, or not at all

$310 per form

Intentionally not filing

$630 per form

1099 penalties may be subject to the following:

  • Furnishing incorrect information on a return
  • Failure to provide the required information
  • Late filing of returns
  • Paper filing when required to file electronically (E-file 1099 if you have 10 or more information returns)

The IRS is accustomed to changing rules year-to-year, sometimes even in the middle of the current tax season! This is why having the most accurate information about the IRS requirements and deadlines for filing any Form 1099 is essential. Use reliable tax software to e-file your forms and stay updated on any changes in regulations or deadlines.

E-filing vs. Paper Filing

small boomtax logo

  • Immediate real-time IRS updates
  • File 1000s of forms easily at once
  • Validates 1000s of IRS rules
  • Can help with questions in real-time in chat

Paper Filing

  • It can take weeks to hear a status update
  • Requires unique red ink form
  • Prone to human error
  • No expert to help with questions

Note: IRS recommends that payers utilize the e-file option over paper filing for faster processing.

Takes Only 30 Seconds