On 2024-11-16 06:31, Robert Heller wrote:
> At Sat, 16 Nov 2024 14:00:24 +0000 "Maf. King" <m...@chilwell.net> wrote:
>
>> Whats a 1099? is this something specific in the rules for the USA?
>
> Yes. It is a way for the IRS to track income > $999.99 that is not regular
> wages (which are tracked with W2s). Eg as a contractor I would invoice a
> client for jobs and if the invoices sum to $1,000.00 or more, the client would
> file a 1099 with the IRS (basically stating that they paid me $x for contract
> work) and send me a copy of the 1099. Also 1099's are used by banks when
> paying intrest > $999.99, and also pension funds (1099r), Same for stocks and
> bonds dividends/interest. A 1099 form is a form stating that money was paid as
> reportable income to a taxpayer.
Where did you get $1,000? The minimum is $600 in any one year, not
$1,000, but if the client is a residence not a business then they would
not file a 1099. All that's actually in the URL you posted in your
follow-up:
<https://www.irs.gov/businesses/small-businesses-self-employed/am-i-required-to-file-a-form-1099-or-other-information-return>
(And if you withheld Federal income tax you must file a form 1099,
regardless of amount you paid.)
However,
"You are not required to file information return(s) if any of the
"following situations apply:
"* You are not engaged in a trade or business.
"* You are engaged in a trade or business and
" **the payment was made to another business that is incorporated,
" but was not for medical or legal services or
" **the sum of all payments made to the person or unincorporated
" business is less than $600 in one tax year"
For instance, if someone does more than $600 of handyman work at my
residence, and I'm not operating a business out of my house, I don't
need to file a 1099. (That's how I read the above, after asking in the
misc.taxes.moderated newsgroup.)
Disclaimer: I am not a tax professional, and if you're not comfortable
reading the IRS website you may want to consult one.
Stan Brown
Tehachapi, CA, USA
https://BrownMath.com
_______________________________________________
gnucash-user mailing list
gnucash-user@gnucash.org
To update your subscription preferences or to unsubscribe:
https://lists.gnucash.org/mailman/listinfo/gnucash-user
-----
Please remember to CC this list on all your replies.
You can do this by using Reply-To-List or Reply-All.
