With constant revisions to Form 1099 and the related rule changes, it is crucial to remain up-to-date with the current information reporting laws to avoid those dreaded penalties and interest not to mention the time consumed to make corrections. Whether you are new or seeking an update this course will provide CPAs, Accounts Payable, Payroll, and Tax with plain English guidance to help minimize 1099 filing mistakes while breaking down the toughest 1099 payee and payment reporting situations.
In this course, industry expert and corporate tax attorney Steven D. Mercatante Esq. takes a look at some of the more common problems experienced by CPAs, accounts payable, and tax departments related to documenting, validating, and reporting payee information on IRS Forms 1099. He identifies key issues and best-practices for addressing them.
Publication Date: December 2022
Designed For
If you will be reporting payments on Forms 1099 early next year, you supervise 1099 compliance and want to stay on top of changes in the law prior to reporting season, or if you are a CPA and would benefit from assistance validating Forms 1099 prior to filing.
Topics Covered
- IRS Focus: The Tax Gap
- The Law
- What's New
- What's New: 1099-NEC and 1099-MISC
- The Form 1099-NEC
- 1099-NEC Box 1: Expense Reimbursements, Accountable Plans, T&E, Fringe
Benefits
- 1099-MISC Box One Issues
- 1099-MISC Box Two Issues
- 1099-MISC Box Three Issues
- 1099-MISC Box Four Issues
- 1099-MISC Box Six Issues
- 1099-MISC vs. 1099-NEC Director's Payments
- The "Other 1099s": The 1099-K
- The "Other 1099s": The 1099-R
- The "Other 1099s": The 1099-INT
- The "Other 1099s": The 1099-B, 1099-DIV
- The "Other 1099s": The 1099-C
- 1099 Filing Starts With the W-9
- 1099 Filing Data Validation Basics
- Always Validate Claims of Non-Reportability
- Always Validate Claims of Non-Reportability — LLCs
- Always Validate LLCs
- 1099 Filing Data Validation: The Exempt Organization
- 1099 Filing Data Validation: TIN Match Program
- Watch Out For 1099 Filing and the Middleman
Learning Objectives
- Determine which 1099 to use and watch out for key trouble spots on the most commonly filed Forms 1099 — including a detailed look at the Forms 1099-MISC, 1099-R, 1099-INT, 1099-K, and Form 945
- Identify the Form 1099-MISC's trickiest boxes: rent, leases, prizes and awards, recognize which boxes to report attorney and settlement payments, decode what "damages" payments mean for AP purposes
- Recognize the difference between box 6 and 1099-NEC box one medical service provider payments
- Describe when the reporting does not always follow the payment, determine which boxes to report non-qualified deferred compensation
- Identify W-9 document validation best practices with a focus on situations when multiple names are provided, handling undocumented payees, exempt organization payees, and IRS TIN Match Program best practices
- Recognize and apply recent 1099 changes as well as analysis of the new Form 1099-NEC and what it means for 1099-MISC reporting
- Recognize how to identify the reportable payee when you pay sole proprietors, LLCs, payee's merged or bought by another, S-Corps, agents, or middlemen
- Identify valuable tips for E-Filing and for using the Combined Federal/State Filing Program
- Recognize how to receive backup withholding guidance designed to make your job easier, including a detailed discussion of the Form 1099-MISC Box 4 and Form 1099-NEC Box 4 versus usage of Form 945
Level
Update
Instructional Method
Self-Study
NASBA Field of Study
Taxes (2 hours)
Program Prerequisites
A basic understanding of Form 1099.
Advance Preparation
None
Instructor
Steven D. Mercatante
Steven Mercatante is the principal and founder of TIR Consulting, LLC. He is a nationally recognized leader in tax reporting education and consulting on specialized compliance issues. He has conducted on-site consultation for corporate clients from across the world and led countless seminars and webinars for Convey Compliance Systems, IAPP, Balance Consulting, The Accounts Payable Network, Accounts Payable Now and Tomorrow, Progressive Business Conferences, The Center for Competitive Management, and more.
He is also a published author, with numerous articles published on tax and financial law, and he has authored and published a series of tax guides on topics such as: W-9/1099 & W-8/1042-S compliance and reporting, payment cards, U.S. State & Local Reporting, worker compensation issues, international tax compliance, and more.