Back to top

Other Changes

Effective for payments made after 2011, companies will be required to use Form 1099 to report payments aggregating $600 or more to corporations as well as others. As it is currently written, this requirement will require a 1099 to be issued to all utility companies, vendors, etc. to whom you pay more than $600 per year. It is possible this requirement will go in to effect earlier and that payments made by credit card will be exempt from the requirements (because credit card companies will report these transactions).

We recommend that you start now to ensure that you are adequately tracking all of your payments so you will be in compliance with this requirement. At the end of the year you should be able to pull reports showing how much you paid to any person or company. You will also want their full, legal name, address and EIN or SSN.