As a business owner, it is important to report all income paid to contractors to the Internal Revenue Service (IRS). For this purpose, you must issue a 1099 form to each contractor you pay more than $600 during the tax year. If you are using TurboTax to file your taxes, this article will guide you on how to send a 1099 form to your contractor.

Step 1: Collect the Necessary Information

To send a 1099 form to your contractor, you will need their full legal name, address, and Social Security number or taxpayer identification number (TIN). You can request this information from the contractor when you first hire them or before the end of the tax year when you are ready to issue the 1099.

Step 2: Purchase TurboTax`s 1099 Filing Service

TurboTax offers a 1099 filing service for businesses that need to issue 1099 forms to their contractors. You can purchase this service through TurboTax by navigating to the Business tab and selecting “1099-MISC.” From there, select “File 1099 online” and follow the prompts to purchase the service.

Step 3: Enter Your Contractor`s Information

Once you have purchased the 1099 filing service, you can enter your contractor`s information into TurboTax. This includes their legal name, address, and Social Security number or TIN. You will also need to enter the amount you paid the contractor during the tax year.

Step 4: Review and Submit the 1099 Form

After entering all of your contractor`s information, review the 1099 form to ensure that all of the information is correct. Once you are satisfied, submit the form to the IRS using TurboTax`s filing service.

Conclusion

Sending 1099 forms to contractors is an important part of your tax reporting obligations as a business owner. By using TurboTax`s 1099 filing service, you can easily and quickly issue 1099 forms to your contractors, ensuring that you are compliant with IRS regulations. Make sure to collect all necessary information from your contractors and review the form before submitting it to the IRS.