What is a 1099 Form?

Taxes 101 What is a 1099 Form?

Although you don’t need to know much about tax forms with TurboTax on your side, it’s always best to organize your forms that when you sit down to do your taxes. Many people are familiar with W-2s, but they may not be aware that other financial documents could be coming, such as 1099s.

While W-2s record your salary and wages, 1099 forms are for other sources of income, such as an independent contractors’ income, unearned income like dividends and interest, and HSA distributions. Some financial institutions give you the option of downloading the forms, which allows us to get our 1099 information faster. In fact, TurboTax imports from over 1.3 million employers and financial institutions to eliminate data entry of your financial information!

Types of 1099s

There are many different types of 1099 forms you can receive during tax time. These variants are based on the income source. Here are just some of the more common ones:

  • 1099-C: Cancellation of Debt
  • 1099-CAP: Changes in Corporate Control and Capital Structure
  • 1099-DIV: Dividends and Distributions
  • 1099-G: Government Payments
  • 1099-INT: Interest Income
  • 1099-LTC: Long Term Care Benefits
  • 1099-MISC: Miscellaneous Income
  • 1099-OID: Original Issue Discount
  • 1099-R: Distributions from Pensions, Annuities, Retirement Plans, IRAs, or Insurance Contracts
  • 1099-S: Proceeds from Real Estate Transactions
  • 1099-SA: Distributions From an HSA, Archer MSA, or Medicare Advantage MSA
  • SSA-1099: Social Security Benefit Statement

The 1099s most taxpayers are familiar with are 1099-INT, 1099-DIV, and 1099-MISC. Since I’m self-employed, I keep track of what 1099s to expect from my contracts. As they come in, I put them in an accordion folder until it’s time to file our taxes. It’s an easy system that helps me have everything ready. Remember, even if you don’t receive a 1099, you still need to report that income, so keeping good financial records throughout the year is important.

Don’t worry about knowing all of these forms. TurboTax will ask simple questions about you and help you easily file your taxes.  If you’re self employed, TurboTax now has TurboTax Self-Employed that helps you uncover deductible business expenses that you didn’t even know existed.

Did you receive a 1099 this tax season? Which one did you receive? If you’re self-employed, how do you keep track and organize all your 1099s?

Comments (83) Leave your comment

  1. I worked for a company, worked 9 to 5, used there office, just as an employee would do, took 30 minute lunch, I was told cash for training for 4 to 8 weeks. Worked there 8 months then let me go, never was informed of 1099 MISC, Received in mail 1099 form today. Is this right?

  2. The IRS is saying they never receive my 1099r form from my retirement and are not going to give me my return . Ive been talking to an IRS advocate and he refuses to do anything until I send him a letter from Fidelity that they paid the taxes on the retirement .. What do I do I’ve already called Fiensteins office to get this fixed…. Please help me

  3. Hi I am a 1099 subcontractor and was wondering if I will still be able too claim my to kids this yr I am a first time sub and was not sure I am also head of house hold and the only source of income

  4. I did some work for a company under 1099 this past year. They were super shady and went out of business shortly after I quit. I have a feeling they won’t send me anything. Can I just claim it as extra income? Can I still claim my mileage?

    1. Hi Chris,
      I would contact the IRS, because anyone that pays a subcontractor over $600 is required to issue a 1099. The IRS uses the 1099 to cross check what you claim on your taxes. Start there so they can let you know next steps and if they did receive a copy of your 1099 since you are not sure. You wouldn’t want to claim a different amount of income if they did receive a 1099 since they match up the amounts.
      Thank you,
      Lisa Greene-Lewis

  5. My father has been working as an independent contractor for this construction company that is a limited liability company. He gets paid approximately $550 cash on a weekly basis. According to my research, the employer is supposed to provide a 1099 MISC by January 31 following the tax year. It has been a year already and the company has not provided the form and my father has not filed for 2013. What can he do?

  6. The company I work for has me as a contractor and wants me to fill out a w-9. in addition I am not paying anything to federal or state. I am in college as well and get a 1098 at the end of every year. I have 3 kids. how do I file? and will I owe any taxes? or will I get a refund at the end of the year. If I file head of household

  7. I loaned a remodeling company money to purchase and flip a property. It sold in 2013 and I received my capital back plus an exit fee, a late penalty fee, and interest. What form should I use?
    Thanks!

  8. Substitute 1099-S real estate. parents passed away and me and my 5 siblings all received $22k for the sale of their home. it was sold on april 1 2013. the house appraised at $150k and sold for $136k…. every time I put it in turbo tax it tries to tax me on the money but I am being told that if it is under $500k then I should not be taxed. help me please

  9. Hello,

    I live in DE and work in PA. If I have a 1099-R do I report it on the state return where I live, where I work, or both? Please help as I do not want to pay twice for money the federal gov’t has already taxed me on.

    1. Hi Reeny,
      If you earned money in a state where you do not live you would have to do a non-resident state tax return. The state where you live will tax all of your income and give you a credit for taxes paid to the non-resident state so you are not double-taxed. TurboTax ask you simple questions and will accurately prepare your Resident and non-resident return.
      Thank you,
      Lisa Greene-Lewis

  10. Is there a TurboTax product that will assist in issuing 1042-s forms to the foreign sub-contractors I work with? I only see 1099-MISC support on the list of features.

    Thanks
    Greg

  11. Hello there. I just had a quick question. My husband was on short term disability for the last 3 months of the year. Metlife sent him checks. I was wondering where on the 1040 form I enter the amount he received from them.

    Thank you,
    Patty

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