When is form 1099 due?

IRS 1099 Forms Deadline and Due Dates

Form 1099 belongs to the Internal Revenue Service of the United States and is used by its citizens and businesses to disclose information about their income and their business. There are many types of these Forms and Form 1099s are used to disclose information about the salaries, wages, tips, interests, and dividends earned by the taxpayer. Payments to independent contractors, Income from rental property, and dividends and interests, are also reported here.

When it comes to the due dates for any IRS tax Forms, two deadlines are be to remembered. One is the due date to send the recipient copy and the second is the due date to file the tax form with the IRS. Generally, the deadline for filing electronically will be later, compared to filing the Form on Paper. 

The due date for filing 1099 Forms

The due date for sending the recipient copy of Form 1099 is January 31st, 2022. The due date for paper filing Form 1099 is January 31st, 2022. The Due date for e-filing the 1099 Form is March 31st, 2022. These due dates for information returns help the IRS to detect refund frauds, as it verifies the income that people report on their tax returns. Taxpayers can support this process by the IRS and avoid penalties, by filing the Forms without errors and submitting them on time. 

Enterprises and individuals who require more time to file Form 1099s can apply for an extension with the IRS. They can fill and submit Form 8809 to request an extension of time with the IRS for filing information returns. The IRS recommends e-filing of 1099 Forms, as they are quick, accurate, and are also extremely accurate. 

Penalties for late filing Form 1099s

Not providing a correct income return statement with the IRS carries a penalty of $560 per 1099 Form. Late filing the mandatory 1099 Forms could result in a penalty ranging from $50 to $280 per 1099 Form. The maximum penalty that could be levied is $1,130,500 a year.

  • $50 can be levied as a penalty for a single 1099 Form if it is filed within 30 days of the due date. 
  • $110 will be levied as a penalty per the 1099 Form if it is filed for more than 30 days after the due date but within August 1st.
  • $280 will be levied as a penalty per Form if it is filed after August 1st. 

Payees will use the information that is reported on these Forms to complete their tax returns. Payers can also choose to give payees one combined 1099 Form that lists all transactions for the complete year. The taxpayers are not required to attach these Forms with their federal tax returns unless they are required to report their Federal tax withheld by the payer. 

Most taxpayers and even organizations underestimate the time left for sending the tax Forms. It is better to consider filing the Form early and not wait for the due date. It is better to file them online with credible service providers like Tax2efile, to avoid late fine payment penalties.