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Legalinfomd
Legalinfomd, Attorney
Category: Business Law
Satisfied Customers: 160
Experience:  Attorney with 24 years of experience in business law.
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I am owner of S Corporation doing construction business in

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I am owner of S Corporation doing construction business in NYC.
Last year we used subcontractors who are also corporations .
Should we provide them with form 1099 MISC for money we paid them ?

Legalinfomd :

Hello. I will respond to your question.

Legalinfomd :

Yes, you are required to provide a Form 1099 to each subcontractor in order to substantiate your business deduction expense.

Legalinfomd :

I hope that this information is useful. Please be sure to leave a positive rating for my response so that I will be compensated for my time. Thank. you.

Customer:

is this require by IRS law ?

Legalinfomd :

Yes. The requirement to provide a form 1099 is part of the Internal Revenue Code.

Customer:

can you direct me please to related paragraphs of this law .

Legalinfomd :

Give me a few moments to research that.

Customer:

ok.

Legalinfomd :

I am still researching.

Customer:

I appreciate it.

Legalinfomd :

My internet is slow this morning, but I will get the information for you.

Customer:

Until this year we were require to give 10999 MISC only to proffessional lawyers etc. but this year is very confusing .

Legalinfomd :

The instructions and requirements for form 1099-misc can be found at http://www.irs.gov/pub/irs-pdf/i1099msc.pdf. If your subcontractor is an individual to whom you paid more than $600.00, you must provide a form 1099. If your payment was to a corporation or limited liability company, you are not required to provide a form 1099, but may do so.

Legalinfomd :

I hope that this information is useful. Please be sure to leave a positive rating for my response so that I will be compensated for my time. Good luck with your year-end taxes.

Customer:

thank you.

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