The first major tax deadline of the year is here — and it’s one your business cannot afford to miss. Form 1099 filings must be issued soon, and late or incorrect filings can result in significant IRS penalties. With only days left, now is the time to review your reporting requirements and ensure your submissions are accurate and complete.
Why Do 1099 Deadlines Matter?
The IRS requires businesses to file 1099s to report payments made to contractors, vendors, landlords, attorneys, brokers, and other payees during the year. Failing to file on time, filing incorrect forms, or not providing required payee statements can result in escalating monetary penalties, which increase the longer a filing is delayed. Timely and accurate 1099 filings protect your business from penalties and ensure compliance with federal reporting rules.
Who Must Receive a 1099?
You must issue a Form 1099 if your business paid $600 or more in 2025 to:
- Independent contractors and freelancers for services (Form 1099-NEC)
- Professionals such as accountants, consultants, or attorneys
- Landlords for rent payments (Form 1099-MISC)
- Service providers paid by check, cash, ACH, or Zelle
- Attorneys, including certain payments that are reportable even if the firm is incorporated
Exception:
Payments made by credit card, debit card, or third-party apps (e.g., PayPal, Stripe, Square) should NOT receive a 1099-NEC or 1099-MISC — these are reported by the payment processor on Form 1099-K.
Form 1099 Deadline 2026
1. Form 1099-NEC — Nonemployee Compensation
Used to report $600+ paid to contractors and service providers.
- Recipient deadline: January 31
- IRS deadline: January 31 (paper or electronic)
2. Form 1099-MISC — Miscellaneous Income
Used for rents, prizes, awards, legal settlements, and other payments.
- Recipient deadline: January 31
- IRS deadline: Feb 28 (paper) or Mar 31 (e-file)
3. Form 1099-B / Form 1099-DA — Broker & Digital Asset Transactions
Reports proceeds from securities, cryptocurrency, and other broker transactions.
- Recipient deadline: January 31
- IRS deadline: Feb 28 (paper) or Mar 31 (e-file)
4. Form 1099-S — Real Estate Transactions
Used for reporting real estate sales or exchanges.
- Recipient deadline: January 31
- IRS deadline: Feb 28 (paper) or Mar 31 (e-file)
What You Need To Do Immediately
- Gather W-9s for all contractors, vendors, attorneys, landlords, and payees
- Review total payments for 2025 and identify who meets the $600 threshold
- Confirm legal names, addresses, and EIN/SSN for accuracy
- Organize payment records (ACH, check, Zelle, cash, etc.)
- Prepare your filing information as soon as possible
If you need assistance, L.V. Browne, CPA is here to help.
We can determine which 1099s apply to your business, review your vendor lists, obtain missing W-9s, and file all forms accurately and on time to avoid penalties.
Take Action Now — We Can File Your 1099s for You
Don’t wait until the last minute. The January 31 deadline is firm, and late filings are costly.
Email us at info@lvbrownecpa.com or schedule your consultation to ensure your 1099s are filed correctly and on time.
Let us help you stay compliant, reduce risk, and enter the 2026 tax season with confidence.
