Hello Website Visitor ,
Here is your Weiss & Company LLP Special Tax Announcement for May 22, 2012.
IRS Adds New Question on Business Returns for 2011
There is a new question to answer on business tax returns you will be filing this tax season (for tax years beginning in 2011). You will have to respond as to whether or not your business made any payments that would require you to file Form 1099. A follow-up question asks if you did or will file all required Forms 1099. The question will need to be answered on all 2011 returns for corporations, partnerships, sole proprietorships and other business forms.
Certain payments you make in your trade or business during a calendar year must be reported on Form1099-MISC. The due date for furnishing the statements to recipients was January 31, 2012. The due date for submitting the forms to the IRS is February 28, 2012.
These payments include the following:
- Annual payments of $600 or more for services performed for your business by individuals not treated as your employees, such as subcontractors, accountants or directors, and non-corporate businesses.
- Payments to attorneys of $600 or more in the course of trade or business (Box 7).
- Annual rent payments of $600 or more, other than rent paid to real estate agents.
- Annual prizes and awards of $600 or more that are not for services.
- Annual royalty payments of $10 or more.
- Payments (of any amount) from which federal income tax was withheld under the backup withholding rules.
The due date is extended to February 15, 2012 if you are reporting payments in Box 8 (Substitute payments in lieu of dividends or interest) or Box 14 (Gross proceeds paid to an attorney).
If you have any questions or you require copies of Form 1099-MISC, please do not hesitate to contact our tax department.
Very truly yours,
Weiss & Company LLP