Form 1099s are a series of IRS documents called information returns. They report types of income you receive other than wages from an employer. If you are a freelancer, contractor, investor, or received a one-time payment, you may get a 1099.
Who sends Form 1099?
Banks, brokerages, businesses, and other organizations that paid you money during the year that may be subject to federal income tax. They also send a copy to the IRS, so report all taxable income from your 1099 forms.
Who gets a 1099 form?
Anyone who is not an employee and was paid more than $600 in a year for services typically gets a 1099. This includes freelancers, independent contractors, and vendors. There are different 1099 forms for different payment types, so use the correct one.
Types of 1099 forms and deadlines
| 1099 form | Purpose | E-filing due date | Paper filing due date | Send to recipient by |
|---|---|---|---|---|
| 1099-A, Acquisition or Abandonment of Secured Property | Reports acquisition or abandonment of secured property, such as a foreclosure or repossession. | March 31 | Feb. 28 | Jan. 31 |
| 1099-B, Proceeds from Broker and Barter Exchange Transactions | Reports capital gains and losses from the sale of investments like stocks or bonds. | March 31 | Feb. 28 | Feb. 15 |
| 1099-C, Cancellation of Debt | Reports forgiven or canceled debts of $600 or more. | March 31 | Feb. 28 | Jan. 31 |
| 1099-CAP, Changes in Corporate Control and Capital Structure | Reports cash, stock, or property received due to changes in corporate control or capital structure. | March 31 | Feb. 28 | Jan. 31 |
| 1099-DA, Digital Asset Proceeds From Broker Transactions | Reports digital asset transactions (like cryptocurrency) handled by digital asset brokers. | March 31 | Feb. 28 | Feb. 15 |
| 1099-DIV, Dividends and Distributions | Reports dividends and distributions paid to shareholders. | March 31 | Feb. 28 | Jan. 31 |
| 1099-G, Certain Government Payments | Reports certain government payments such as unemployment compensation. | March 31 | Feb. 28 | Jan. 31 |
| 1099-H, Health Coverage Tax Credit (HCTC) Advance Payments | Reports advance payments of health coverage tax credit (last used in tax year 2021). | March 31 | Feb. 28 | Jan. 31 |
| 1099-INT, Interest Income | Reports interest income of $10 or more. | March 31 | Feb. 28 | Jan. 31 |
| 1099-K, Payment Card and Third Party Network Transactions | Reports payments via payment cards or third-party networks such as Venmo or PayPal. | March 31 | Feb. 28 | Jan. 31 |
| 1099-LS, Reportable Life Insurance Sale | Reports the sale of a life insurance policy. | March 31 | Feb. 28 | Feb. 15 |
| 1099-LTC, Long-Term Care and Accelerated Death Benefits | Reports payouts from long-term care insurance contracts or accelerated death benefits. | March 31 | Feb. 28 | Jan. 31 |
| 1099-MISC, Miscellaneous Income | Reports miscellaneous income, such as rent or royalties, not covered by other forms. | March 31 | Feb. 28 | Jan. 31 |
| 1099-NEC, Nonemployee Compensation | Reports nonemployee compensation paid to independent contractors or freelancers. | Jan. 31 | Jan. 31 | Jan. 31 |
| 1099-OID, Original Issue Discount | Reports original issue discount interest income on debt instruments such as bonds and notes. | March 31 | Feb. 28 | Jan. 31 |
| 1099-PATR, Taxable Distributions Received from Cooperatives | Reports $10 or more of distributions (patronage dividends) received from cooperatives. | March 31 | Feb. 28 | Jan. 31 |
| 1099-Q, Payments from Qualified Education Programs | Reports payments from 529 plans and Coverdell ESAs. | March 31 | Feb. 28 | Jan. 31 |
| 1099-QA, Distributions from ABLE Accounts | Reports distributions from ABLE accounts. | March 31 | Feb. 28 | Jan. 31 |
| 1099-R, Distributions from Pensions, Annuities, Retirement or Profit-Sharing Plans, IRAs, etc. | Reports distributions from pensions, retirement accounts, annuities, etc. | March 31 | Feb. 28 | Jan. 31 |
| 1099-S, Proceeds from Real Estate Transactions | Reports proceeds from real estate sales or exchanges. | March 31 | Feb. 28 | Feb. 15 |
| 1099-SA, Distributions from an HSA, Archer MSA, or Medicare Advantage MSA | Reports distributions from health savings accounts or medical savings accounts. | March 31 | Feb. 28 | Jan. 31 |
| 1099-SB, Seller’s Investment in Life Insurance Contract | Reports the seller’s investment in a life insurance contract upon transfer. | March 31 | March 1 | Feb. 15 |
Note: If a deadline falls on a weekend or holiday, the due date is the next business day.
Common 1099 forms explained
- 1099-A: If your lender forgives part of your mortgage or you sell your home for less than you owe (a short sale), the forgiven amount is typically taxable income.
- 1099-B: Reports proceeds from the sale of stocks, bonds, or other securities, used to calculate capital gains or losses.
- 1099-C: Reports canceled or forgiven debt (credit card, car, personal, or student loans). The IRS treats canceled debt as taxable income.
- 1099-CAP: Issued to shareholders who received cash, stock, or property from a corporation’s acquisition or restructuring.
- 1099-DA: New for tax year 2025. Digital asset brokers (crypto exchanges, NFT marketplaces) must report digital asset transactions. You may receive it starting in 2026 when filing 2025 taxes.
- 1099-DIV: Reports dividends and distributions from investments.
- 1099-G: Reports government payments such as a tax refund, credit, offset, or unemployment benefits.
- 1099-INT: Reports taxable interest income of more than $10 from a bank or financial institution.
- 1099-K: Reports transactions from payment cards and third-party networks. As of 2025, the reporting threshold reverted to pre-2024 levels under the One Big Beautiful Bill Act.
- 1099-MISC: Reports miscellaneous income such as rent, prizes, and awards. Nonemployee income moved to Form 1099-NEC in 2020.
- 1099-NEC: Reports nonemployee compensation to freelancers, independent contractors, and self-employed individuals.
- 1099-R: Reports distributions from pensions, retirement plans, IRAs, or annuities. Not always taxable.
- 1099-S: Reports earnings from real estate transactions. Proceeds are not always taxable.
- 1099-SA: Reports distributions from an HSA, Archer MSA, or Medicare Advantage MSA. Not taxable if used for qualified health expenses.
Consolidated 1099: Combines up to five forms (1099-B, 1099-DIV, 1099-INT, 1099-MISC, and 1099-OID) into one document showing your reportable income and transactions for the year.
FAQs about Form 1099s
Do I still need to report income if I didn’t receive a 1099 form?
Yes. You may not always get a 1099, but you must report and pay tax on all income you receive. In a tax audit, you must be able to show all income was reported.
Do I need to send Form 1099-NEC to an independent contractor if I paid them less than $600?
Generally no. The IRS typically requires Form 1099-NEC only if all of these apply: (1) the payment went to a non-employee; (2) it was for services in your trade or business; (3) it was paid to an individual, partnership, estate, or in some cases a corporation; and (4) you paid at least $600 during the year. This $600 threshold increases to $2,000 in tax year 2026.
Do LLCs receive 1099 forms?
It depends on how the LLC is taxed. The IRS treats single-member LLCs like individuals, so a contractor operating as a single-member LLC should receive Form 1099-NEC if you paid them at least $600 in 2025 (increasing to $2,000 in 2026). LLCs taxed as corporations typically do not require a 1099.
Where can I get 1099 forms?
You can order information returns from the IRS website free of charge (up to 100 copies of each form), buy them from office supply retailers, or e-file them using an online service.
How do I fill out a 1099 form?
The IRS provides instructions for each 1099 form on irs.gov. You will need the recipient’s taxpayer identification number (TIN) or Social Security number, the total amount paid during the year, and other information depending on the payment type. Double-check the math and confirm you are using the correct form.
When should I hire 1099 contractors vs. W-2 employees?
It comes down to control and commitment. A 1099 contractor fits specific projects or short-term work where the worker sets their own schedule and works independently. A W-2 employee fits when you want to manage how, when, and where work gets done and want long-term commitment.
This article is for informational purposes only and not legal or financial advice.