1099 Preparation
How to prepare your 1099 for Hicks Accounting
Basically, 1099 forms report to the Internal Revenue Service how much you as a business has paid a company in the last tax year. Think of this documentation as an alternative to W-2 forms, which organizations use to declare income for employees. If you are a small business owner, you either have to set up your own accounting system or you have to hire someone to set it up for you. Why not choose a professional with experience? Choose Hicks Accounting Services, INC.
Get your 1099s
Hicks Accounting reccomends that businesses use forms that are readable by the IRS scanner that process 1099s. Maybe you’re thinking, “This sounds like more of a hassle than anything else.” Here at Hicks Accounting, we agree that obtaining 1099 forms can be complicated. We can direct you to the correct sources and can even print the correct forms for any of our clients.
Fill out the forms
Hicks Accounting can help with filling in the contact information forms. As aforementioned, manually filling out 1099s can take up a good chunk of time.
Send out the forms
Hicks Accounting can save you precious hours (or days) filling out 1099s so you can to send them out and get back to running your business. The deadline for mailing or handing copies to independent contractors is February 1. Should you fail to meet this deadline, you could face some hefty IRS penalty fees.
Keep copies for your records
Hicks Accounting provides all clients with Copy C is meant to be kept for your records. While you may not want additional paperwork in your office, it’s essential to have these records available for at least three years. The last thing you want is to be contacted by the IRS regarding a contractor’s 1099 and not have your own copy of the form. Hicks Accounting will supply your buisiness with a package that can be easily stored away for safe keeping.
