If you are a small business owner, you know tax season can be a headache, and perplexing tax forms can add to your frustration . . . particularly Form 1099.
The due date for your business 1099 form must be mailed out by January 31st. It is important to be aware of the many subtle distinctions in tax forms, so being prepared is important.
If you want to avoid mistakes on your business’ tax forms, here is some advice to think about before you start . . .
1. Learn more about Form 1099-K.
This form is a fairly new kid on the block. The form is designed to keep track of all payment-processing businesses. If your company generated at least 200 business transactions with a total sales value of $20,000 or higher in the past tax year, the credit and payment-processing centers should send you one or more Form 1099-K.
2. Don’t forget about tax form deadlines.
January 31st is a deadline that almost every business should remember. The end of January is the last day you have to sent IRS 1099 forms to service providers and contractors.
This year, February 28 is the deadline to submit all 1099 forms to the IRS. This gives you time to fix any mistakes on the form before sending it in.
3. Look for scannable forms.
All 1099 forms are available on the IRS’ website, although not all of them can be scanned. The bad news: the tax forms your business mails to the IRS or contractors must be scannable. Figure out which forms you need for this tax year and order the correct forms from the IRS.
4. Trust the professionals.
It is important to seek the help of seasoned tax professionals. If your business owes the IRS money, or you need the help of a tax resolution lawyer, contact U.S. Tax Shield today!
New customers receive a free, no obligation consultation and tax analysis to learn more about your individual options. U.S. Tax Shield can help take your stress away while protecting your business assets.