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The new IRS 1099 NEC Form 2020 requires different details compared to the 1099 MISC Form. The similar details you need to enter in the 1099 NEC Form are Payers and recipient information. IRS 1099 NEC Form consists of 7 boxes. Box 1 represents nonemployee compensation or nonqualified deferred compensation. Box 2 and Box 3 are reserved. Also, Box 4 shows backup withholding. Also, Box 5-7 represents the State income tax withheld reporting boxes. Must enter all these boxes information and finish your 1099 NEC Filing successfully.
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The NEC (Non-employee compensation) Form is the replacement of 1099 MISC Box 7. The filers must use Form 1099 NEC to report Non-employee compensation to the IRS.
Form 1099 NEC requirements are Recipient’s information, Payers information, State income tax withheld, Non-employee compensation required amount needs to enter to have successful 1099 NEC Online Filing
The 1099 NEC Online Form must file by January 31st, 2021. Filers must finish their filing before January 31st to avoid penalties
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