More people are being required to file 1099-MISC forms all over the country, because the IRS is diligent in making sure you pay your taxes \u2013 even if you\u2019re an independent contractor. Your client sends a 1099-MISC form to the agency, and the IRS compares it to the form you submit. Ignoring a 1099-MISC is a bad idea, because the IRS will track you down.<\/p>\n
Anyone who is considered an independent contractor needs to fill out a 1099-MISC form from their client, provided they were paid in excess of $600 for the year. Just because you didn\u2019t receive anything in the mail doesn\u2019t mean you don\u2019t have to file. Contact your client and verify that a form has been sent, and make sure it was mailed to the correct address. It\u2019s possible your client doesn\u2019t even realize that a form needs to be sent. <\/span><\/p>\n Even if the client doesn\u2019t send any form, you are required to report the income. Often, people think if they make less than $600, they don\u2019t have to report their income, however that is not the case. A 1099-MISC form is the first step to compiling your tax return.<\/span><\/p>\n Independent contractors who use a 1099-MISC form to file their taxes usually have to fill out a Schedule C, which calculates the earned income and any expenses that can be deducted. In addition to a Schedule C, contractors will have to file a Schedule SE, which will tally the amount owed for Medicare and Social Security deductions. <\/span><\/p>\n Filing a 1099-MISC doesn\u2019t have to be a difficult process. A tax preparation program can help make filing your taxes relatively simple. It\u2019s important to focus on maximizing your benefits, as independent contractors often have quite a few available to them. <\/span><\/p>\n","protected":false},"excerpt":{"rendered":" More people are being required to file 1099-MISC forms all over the country, because the IRS is diligent in making sure you pay your taxes \u2013 even if you\u2019re an independent contractor. Your client sends a 1099-MISC form to the agency, and the IRS compares it to the form you submit. Ignoring a 1099-MISC is […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[121],"tags":[91,92,93,27],"class_list":["post-48","post","type-post","status-publish","format-standard","hentry","category-income","tag-1099-misc","tag-independent-contractor","tag-schedule-c","tag-taxes"],"yoast_head":"\n