Listen to or watch the related podcast: https://podcasts.dinesenmedia.com/show/information-return-intelligence-1/1099-k-part-1-understanding-the-rules-and-the-reporting-gap/ This article will attempt to cut through some of the confusion surrounding Form 1099-K. This form has been in the news since 2022, with the reporting threshold being a moving target ever since. And now, the One Big Beautiful Bill (OBBB) has re-set the threshold back to…
Listen to or watch the related podcast: https://podcasts.dinesenmedia.com/show/information-return-intelligence-1/treasury-aligns-backup-withholding-with-new-1099-reporting-thresholds/ The Treasury Department recently released proposed regulations to update backup withholding thresholds to conform with the increased reporting thresholds for many 1099’able transactions. Background The One Big Beautiful Bill Act (OBBBA) changed sections 6041 and 6041A to increase the reporting threshold from our old, familiar $600 threshold…
Watch or listen to the related podcast: https://podcasts.dinesenmedia.com/show/information-return-intelligence-1/the-kwong-case-a-big-tax-deal-but-what-about-information-returns/ A recent ruling by the US Court of Federal Claims could open the door to relief from some penalties and interest refunds incurred during COVID. You may or may not have heard of this case, and at any rate, the news articles on it have centered on…
Watch or listen to the associated podcast: https://podcasts.dinesenmedia.com/show/information-return-intelligence-1/powwows-prizes-and-1099s-lessons-from-a-2026-irs-ruling/ Catching up on some other 1099 news so far in 2026, back in January, the IRS released an interesting private letter ruling (PLR) in which it dived into whether or not a Native American tribe needed to issue a 1099 to a winner at a powwow. We…
Listen to or watch the related podcast episode: https://podcasts.dinesenmedia.com/show/information-return-intelligence-1/iofm-conference-takeaways-anxiety-complexity-and-ai/ Last week, I was at the IOFM spring conference in Orlando. I have always felt like this is a great event because IOFM is a high-quality organization, and IOFM members are high-quality professionals. I do all of the education on 1099s and other information-reporting issues at…
Listen to or watch the podcast about this topic: https://podcasts.dinesenmedia.com/show/information-return-intelligence/ask-the-experts-volume-2/ Question: If Company A issues a check to a payee, then later, Company A has to reissue that same check due to the payee losing the check, does Company A need to do an amended 1099-NEC if it crosses tax years? Answer: No. The question…
Listen to or watch the podcast on this episode: https://podcasts.dinesenmedia.com/show/information-return-intelligence-1/latest-w-9-draft-irs-reverses-course-on-sole-proprietor-ein-rule/ The IRS on Monday released another draft of a new W-9, and this draft has removed the prohibition on an individual/sole proprietor from using an EIN. In this latest draft, the only thing listed under “What’s New” is a new backup withholding exemption code that…
Let’s look at how the IRS uses the information off the 1099s you file. We wrote about this in part 1 of “Dealing with Corrections,” and it’s a good encapsulation. When you file 1099s with the IRS, they put that information into their databases. In other writings, we delve into “how” they catalogue the information,…
Someone recently asked me why so many accountants and tax pros — CPAs, EAs, etc. — tell single-member LLCs to enter the LLC’s EIN on a W-9 instead of the owner’s Social Security Number. Now, you might read that paragraph and wonder, “What are we even talking about here?” So, let’s start by breaking it…
What do you do when you discover an error on a 1099? Or perhaps you discover that you should have sent a 1099 to someone, and now the deadline has passed? This article will help you with the process and alleviate some of your concerns. Types of Errors Errors can come in many different varieties….
