The clock is ticking! The deadline to file 1099-NEC forms for non-employee compensation is February 2nd.
If you paid $600 or more in 2025 to vendors such as freelancers, attorneys, or other service providers, it’s time to get those forms filed. Form 1099-NEC must be submitted to both the IRS and your contractors by the deadline to stay compliant and avoid penalties.
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Keep in mind that payments made by credit card are excluded from your 1099 reporting. That’s because payment processors are responsible for issuing their own forms (typically Form 1099-K).
If you’re considering a change in 2026, paying vendors by credit card could mean earning points and simplifying next year’s 1099 season.
Be sure to obtain a Form W-9 from each vendor to ensure you have accurate information when preparing 1099s. Double-check all details — even a small mistake can create unnecessary delays or IRS notices.
Good news: if a vendor’s W-9 shows they’re a corporation, you typically don’t need to issue a 1099. One important exception: corporations must receive a 1099 for legal services.
Before filing, verify every detail on your 1099 forms. Errors like misspelled names or incorrect EINs or Social Security numbers can cause IRS rejections, trigger notices, and create headaches for both you and your contractors.
Remember, there are different types of 1099 forms, each with its own rules and thresholds. Make sure you’re using the correct form for each situation. For full details, visit IRS.gov or connect with your trusted tax advisor.
Still have questions? Alloy Silverstein has got you covered. Head to the Resources section of our website for more tips and tools to stay compliant.
Start this tax season stress-free and ahead of the game. Get those 1099s filed on time — your business will thank you later.
Related Form 1099 Resources:
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