2024 Guide: All 22 Types of Form 1099 Taxes for US Filers

Form 1099 is a blanket term for a series of IRS information return forms used to report various types of income other than wages, salaries, and tips (which are reported on Form W-2). These forms are used to inform the IRS and the recipient about income received throughout the tax year.

Here’s a breakdown of how Form 1099 works:

Who receives it: Anyone who earned income outside of regular wages (e.g., freelancers, investors, people who sold property).
Who files it: Businesses or individuals that paid you money (e.g., companies you freelanced for, banks that paid you interest, real estate brokers who handled your property sale).
What’s reported: The type and amount of income you received.

Why to File Form 1099?

You actually don’t file Form 1099 yourself. It’s the payer’s responsibility (the person or entity that paid you) to file a Form 1099 to report the income they paid you throughout the tax year.

Here’s why Form 1099 is important:

Informs the IRS: It provides the IRS with a record of the income you received from various sources, helping ensure everyone reports their taxable income accurately.
Provides Information to You: The Form 1099 you receive serves as an official record of your income, making it easier to file your tax return.
Verification: In case of discrepancies between your reported income and the information the IRS receives from payers, Form 1099 helps reconcile any differences.

So, while you don’t file Form 1099 yourself, it plays a vital role in ensuring accurate tax reporting for both you and the payer.

There are 22 different variations of Form 1099, each designated with a letter suffix to identify the specific type of income being reported. For instance, Form 1099-K reports income from payment card transactions, while Form 1099-DIV reports dividends from investments.

Understanding which specific Form 1099 you receive is crucial for accurate tax filing. The form will detail the income you received and any relevant tax information.

The 22 Flavors of Form 1099: A Breakdown

The Form 1099 series serves as a vital cog in the tax reporting machinery, documenting various income streams outside of regular wages. Understanding the specific types of 1099s is crucial for both payers and recipients to ensure accurate tax filing. Here’s a breakdown of all 22 forms:

1. Form 1099-A: Acquisition or Abandonment of Secured Property

This form reports the foreclosure or repossession of a property held as collateral for a loan.

Who receives it: Borrower whose property is foreclosed or repossessed.
Who files it: Lender that repossessed the property.
Reported income: Fair market value of the property minus outstanding debt.

Tax implications: The borrower may need to report capital gains or losses on their tax return.

2. Form 1099-B: Proceeds from Broker and Barter Exchange Transactions

This form reports proceeds from the sale of securities (stocks, bonds, etc.) and bartered goods or services.

Who receives it: Investor who sold securities or participated in a barter exchange.
Who files it: Brokerage firm or barter exchange.
Reported income: Total sales proceeds from reported transactions.

Tax implications: The investor reports capital gains or losses on their tax return based on the sale price and cost basis of the securities. Bartered income may be taxable depending on the nature of the exchange.

3. Form 1099-C: Cancellation of Debt

This form reports the cancellation or forgiveness of debt of $600 or more.

Who receives it: Debtor whose debt is forgiven.
Who files it: Creditor who forgives the debt (e.g., bank, credit card company).
Reported income: Amount of debt forgiven.

Tax implications: The forgiven debt may be considered taxable income, depending on the specific situation.

4. Form 1099-CAP (Less Common)

This form reports payments for certain kinds of medical and educational assistance programs.

Who receives it: Recipient of the assistance payments.
Who files it: Payer of the assistance (e.g., government agency, employer).

Tax implications: The taxability of these payments depends on the specific program.

5. Form 1099-DIV: Dividends and Distributions

This form reports dividend payments from stocks and mutual funds, as well as other investment distributions.

Who receives it: Investor who received dividends or distributions.
Who files it: Corporation that paid the dividends or investment company.
Reported income: Total amount of dividends or distributions paid.

Tax implications: Dividends may be subject to qualified dividend tax rates or ordinary income tax rates.

6. Form 1099-G: Government Payments

This form reports various government payments, including unemployment compensation, tax refunds, and certain agricultural subsidies.

Who receives it: Recipient of the government payment.
Who files it: The government agency that made the payment.
Reported income: Total amount of the government payment.

Tax implications: The taxability of these payments depends on the specific type of payment.

7. Form 1099-H: Medical and Health Care Services Paid by Third Party

This form reports payments made by a third party (e.g., insurance company) for medical and healthcare services.

Who receives it: The healthcare provider that received the payment.
Who files it: Third-party that made the payment.
Reported income: Total amount paid for medical and healthcare services.

Tax implications: This form is primarily for informational purposes for the healthcare provider.

8. Form 1099-INT: Interest Income

This form reports interest earned on savings accounts, bonds, and other interest-bearing investments.

Who receives it: Recipient of the interest income.
Who files it: Bank, credit union, or other financial institution that paid the interest.
Reported income: Total amount of interest paid.

Tax implications: Interest income is generally taxable.

9. Form 1099-K: Payment Card and Third-Party Network Transactions

This form reports income received from payment cards and third-party network transactions, often associated with online sales platforms.

Who receives it: Business or individual who received payments.
Who files it: Payment settlement company (e.g., PayPal, Stripe).
Reported income: Total payment card and third-party network transactions exceeding a certain threshold ($20,000 in gross transactions AND over 200 transactions in 2023 and 2024).

10. Form 1099-LS (Less Common)

This form reports the cancellation of student loan debt of $600 or more discharged due to death or disability.

Who receives it: The estate of deceased borrower or disabled borrower.
Who files it: Educational institution or lender that discharged the debt.
Reported income: Amount of student loan debt discharged.

Tax implications: The forgiven debt may be considered taxable income, but there are exceptions for death and disability discharges.

11. Form 1099-LTC: Federal Income Tax Withheld from Contractual Payments

This form reports federal income tax withheld from certain contract payments, such as payments to life insurance companies.

Who receives it: Payee of the contract.
Who files it: Payer who withheld the income tax.
Reported income: Total amount of the contract payment and amount of federal income tax withheld.

Tax implications: This form helps the payee reconcile tax withholding with their tax return.

12. Form 1099-MISC: Miscellaneous Income

This form is a catch-all for various types of income not reported on other 1099 forms. It includes payments for:

Rent
Royalties
Prizes and awards (over $600)
Payments to independent contractors (replaced by Form 1099-NEC in 2020)
Other miscellaneous income exceeding $600
Who receives it: Recipient of the miscellaneous income.
Who files it: Payer of the miscellaneous income.
Reported income: Total amount of the miscellaneous income paid.

Tax implications: The tax treatment of the income depends on the specific type of income reported.

13. Form 1099-NEC: Non-Employee Compensation

Introduced in 2020, this form reports payments made to independent contractors and freelancers exceeding $600.

Who receives it: Independent contractor or freelancer who received the payment.
Who files it: Business or individual who hired the independent contractor.
Reported income: Total amount of compensation paid to the independent contractor.

Tax implications: Independent contractors are responsible for paying self-employment taxes on their income reported on Form 1099-NEC.

14. Form 1099-OID: Original Issue Discount

This form reports the original issue discount (OID) on debt instruments, such as corporate bonds, where the redemption price is greater than the purchase price.

Who receives it: Holder of the debt instrument.
Who files it: Issuer of the debt instrument or broker.
Reported income: Amount of OID accrued for the tax year.

Tax implications: OID is generally considered taxable income.

15. Form 1099-Q: Payments from Qualified Education Programs

This form reports distributions from qualified education programs, such as 529 plans.

Who receives it: Account owner of the qualified education program.
Who files it: Program administrator.
Reported income: Total amount of distributions made from the program.

Tax implications: Distributions used for qualified education expenses are generally not taxable.

16. Form 1099-QA: Health Savings Account (HSA) Information Reporting

This form reports contributions made to Health Savings Accounts (HSAs) and distributions used for qualified medical expenses.

Who receives it: Account owner of the HSA.
Who files it: Trustee of the HSA.
Reported income: Total contributions made and distributions taken from the HSA.

Tax implications: Contributions to HSAs may be tax-deductible, and qualified distributions are generally not taxable.

17. Form 1099-R: Distributions from Pensions, Annuities, Retirement or Profit-Sharing Plans, IRAs, Insurance Contracts, etc.

This form reports distributions from various retirement accounts and insurance contracts.

Who receives it: Recipient of the distribution.
Who files it: Payer of the distribution (e.g., retirement plan administrator, insurance company).
Reported income: Total amount of the distribution and any taxable portion.

Tax implications: The tax treatment of the distribution depends on the type of account and how the funds are withdrawn.

18. Form 1099-S: Proceeds from Sale of Real Estate

This form reports the sale of real estate, including the sale price and any gross proceeds withheld by the seller.

Who receives it: Seller of the real estate.
Who files it: Real estate broker or closing agent who handled the sale.
Reported income: Gross proceeds from the sale and any withheld amounts (e.g., for commissions or taxes).

Tax implications: The seller may need to report capital gains or losses on their tax return based on the sale price and cost basis of the property.

19. Form 1099-SA: Sale or Exchange of Capital Assets Reported for Brokerage Accounts

This form is similar to Form 1099-B but focuses specifically on capital asset sales reported for brokerage accounts.

Who receives it: Investor who sold capital assets through a brokerage account.
Who files it: The brokerage firm that handled the sale.
Reported income: Proceeds from the sale of capital assets.

Tax implications: The investor reports capital gains or losses on their tax return based on the sale price and cost basis of the assets.

20. Form 1099-SB: Cancelled, Redeemed, or Expired Stock Options

This form reports the cancellation, redemption, or expiration of stock options.

Who receives it: Employee or other recipient who held the stock options.
Who files it: The Corporation that granted the stock options.
Reported income: Information about the option grant, cancellation, redemption, or expiration.

Tax implications: The tax treatment of stock options can be complex, and this form provides information needed to determine tax liability.

21. Form 1099-T: Tuition Payments Received by Educational Institutions

This form reports tuition payments received by educational institutions.

Who receives it: N/A (This form is for informational purposes for the IRS).
Who files it: Educational institution that received the tuition payments.
Reported income: Total amount of tuition payments received from students.

Tax implications: This form is not used by students for tax filing purposes. However, students may be able to claim education tax credits based on their tuition payments.

22. Form 1099-MISC (State and Local Income Tax Withheld)

This version of Form 1099-MISC reports state and local income taxes withheld from payments made to vendors or independent contractors.

Who receives it: Vendor or independent contractor who had state and local income taxes withheld.
Who files it: The payer who withheld the taxes.
Reported income: Total amount of the payment and amount of state and local income tax withheld.

Tax implications: This form helps the vendor or independent contractor reconcile state and local tax withholding with their tax return.

What Do I Do If I Do Not Receive All of My 1099s?

Here’s what you can do if you don’t receive all of your 1099s:

1. Check with the Payer:

The first step is to contact the companies or individuals who were supposed to send you a 1099. They might have misplaced your information or there could be a delay in mailing.
Ask them to confirm if a 1099 was issued to you and inquire about options for obtaining a copy (e.g., online download, mailed duplicate).

2. Look for Alternative Records:

If contacting the payer doesn’t resolve the issue, try to gather your own records to document the income. This could include:
- Bank statements or online banking records showing deposits from the payer.
- Contracts or invoices detailing the agreed-upon payment amounts.
- Receipts or other documentation of the payments you received.

3. Report the Income Anyway:

Even without a 1099, it’s crucial to report all your income on your tax return. Use the best information you have available based on your records.
You can mention on your tax return that you haven’t received a Form 1099 for specific income and explain the steps you took to obtain it.

4. Contact the IRS (if necessary):

If you’ve exhausted all other options and still haven’t received a missing 1099 by late February, you can contact the IRS for assistance.
You can call them at 1-800-829-1040 to explain the situation and request help in obtaining the missing information.

Additional Tips:

Keep good records throughout the year of all your income and expenses, so you have documentation readily available come tax season.
If you expect income from multiple sources that might require 1099, consider providing your updated contact information to the payers beforehand to avoid any mailing issues.

By following these steps, you can minimize the inconvenience of missing 1099s and ensure accurate tax filing.

Which Is Better Filling Method Online or Offline?

In most cases, filing your taxes online is the better method compared to offline filing. Here’s a breakdown of the pros and cons of each method:

Online Filing:

Pros:

Faster and more efficient: Electronic filing takes less time than mailing paper forms and gets processed quicker by the IRS.
More accurate: Online tax software often includes features that automatically calculate your taxes and identify potential errors, reducing the chances of mistakes.
Easier to track: You can easily check the status of your tax return and any communications from the IRS electronically.
Safe and secure: Reputable online tax filing services use robust security measures to protect your personal and financial information.
Environmentally friendly: Saves paper and reduces reliance on physical mail.

Cons:

Technology dependence: Requires access to a computer and reliable internet connection.
Potential fees: Some online tax filing services charge fees for using their platform.
Complexity for some: Complex tax situations might require professional assistance, which online software might not be equipped for.

Offline Filing: