Well, February 2 is the day you have to get 1099MISC statements to your vendors. What happens if you paid your vendor by PayPal or credit card; do you still have to send 1099s to them? The answer is no – see this posting in Small Business Trends by Anita Campbell for the reasons: http://smallbiztrends.com/2015/01/1099-contractors-paypal-credit-card.html Since the electronic processors send the info to the vendor on a form 1099K, you are off the hook for reporting – they do it for you. Just remember if you send a check you still have to 1099 those vendors. For financial, accounting and tax musings, You can count on us to count for you! Email: bstonercpa@sbcglobal.net Phone: 818-317-6035 Website: www.briantstonercpa.com Android and the IPhone: Has been Featured On https://twitter.com/bstonercpa
Burbank CPA Tax Musings: So Who Should You Send a 1099MISC To Anyway?
Well it is time to file 1099MISC forms again for all contract labor and rent. Well, not necessarily all! There are some exceptions you don’t have to report, plus some items you have to report even if they meet another exception. See this posting in Nolo for more information: http://www.nolo.com/legal-encyclopedia/when-do-you-need-file-form-1099-misc.html Normally you don’t have to file 1099MISC for a corporation. But if you pay an incorporated attorney $600 or more you are required to report that. There are more details on the IRS website for 1099s (there is plenty of information here, probably more than you want.) See this link: http://www.irs.gov/instructions/i1099msc/ar02.html Now that you are an expert you should have no trouble with this in the future (I hope.) For financial, accounting and tax musings, You can count on us to count for you! Email: bstonercpa@sbcglobal.net Phone: 818-317-6035 Website: www.briantstonercpa.com Android and the IPhone: Has been Featured On https://twitter.com/bstonercpa
Musings of a Burbank CPA: 10 Tax Facts about Exemptions and Dependents
Here are ten tips about tax exemptions and dependents that will help you determine what you can deduct. There is also a little information about E-Filing and the ACA requirement that all family members have to have health coverage or an exemption; otherwise you have to make a Shared Responsibility Payment (the penalty that can range from $95.00 to over $10,000.00.) See the details in this link to the IRS Tax Tip: http://content.govdelivery.com/accounts/USIRS/bulletins/ebdf89?reqfrom=share Just remember that if you are filing your own tax return there are many things to think about. Turbo Tax can be great if you have health coverage and a W2, but be aware that DIY can have many pitfalls and if you don’t have the knowledge, you may need some help if your return is more complicated. For financial, accounting and tax musings, You can count on us to count for you! Email: bstonercpa@sbcglobal.net Phone: 818-317-6035 Website: www.briantstonercpa.com Android and the IPhone: Has been Featured On https://twitter.com/bstonercpa