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General Information

Tax Year *

Payer's Information

Payer’s Name *

Payer’s TIN *

Payer’s Phone Number

Payer's Address

Country *

Address (Number and Street) *

Apt/Ste No.

Zip Code *

City *

State *

Recipient’s Information

Recipient’s Name *

Recipient’s TIN *

Recipient’s Address

Country *

Address (Number and Street) *

Apt/Ste No.

Zip Code *

City *

State *

Filing Information

Account Number

2nd TIN not.

Non-employee Compensation *

Payer made direct sales totaling $5,000
or more of consumer products to recipients for resale.

Excess golden parachute payments

Federal Income Tax Withheld

State Tax Withheld (Line 1)

State/Payer’s State No. (Line 1)

State Income (Line 1)

Are any of the taxes withheld in a secondary state?

Yes No

State Tax Withheld (Line 2)

State/Payer’s State No. (Line 2)

State Income (Line 2)

Email Information

Insert the e-mail address to which you want to receive your 1099-NEC form.

Your Email Address *

Your 1099 NEC Form Preview

What is Form 1099-NEC?

Form 1099-NEC is an IRS form used to report payments made by a business to nonemployee individuals, such as independent contractors or freelancers. As a business owner, it's important to understand small business budgeting and tax responsibilities. You are required to issue a Form 1099-NEC to any nonemployee whom you pay $600 or more in total during the tax year.

Alternatively, you may be considered a nonemployee taxpayer if you perform work as an independent contractor, sole proprietor, or freelancer. If you received more than $600 from a single business during the tax year, expect to receive Form 1099-NEC delivered either electronically or by mail from that business.

What Is Form 1099-NEC Used For?

Form 1099-NEC is used to report nonemployee compensation (NEC) paid to individuals such as independent contractors, freelancers, and sole proprietors. Businesses are required to issue Form 1099-NEC only if they paid $600 or more to a nonemployee during the tax year.

Why Use Our 1099-NEC Generator Tool?

Our advanced online 1099-NEC generator simplifies the entire process, allowing you to create accurate forms in just seconds. With an easy-to-use interface and automated data entry, you can generate IRS-compliant forms quickly so you can focus on what matters most: growing your business. Just enter key details like your company information and nonemployee compensation amount, and your 1099-NEC form will be ready to download and use instantly.

When Did the IRS Introduce Form 1099-NEC?

Form 1099-NEC is the newest addition to the 1099 tax form series, introduced for the 2020 tax year and beyond. Before its release, nonemployee compensation was reported on Form 1099-MISC (Miscellaneous Income). The reintroduction of Form 1099-NEC was intended to simplify reporting and reduce filing confusion.

Who Fills Out A Form 1099-NEC?

Any business that pays $600 or more in taxable income to a nonemployee, such as an independent contractor or freelancer, must file Form 1099-NEC. Taxable income can include fees, commissions, prizes, and awards for services performed by the nonemployee. A copy of the form must be submitted to both the IRS and the recipient taxpayer by the required filing deadline.

The Four-Step Test

If these four conditions are met, you generally should complete a Form 1099-NEC.

You made payments to non-employees
You made the payment for services performed in the normal course of your business
You made the payment to an individual, partnership, estate, or, in some cases, a corporation
You made cumulative payments totaling $600 or more in the tax year

What Is the Filing Deadline for Form 1099-NEC?

To avoid penalties, Form 1099-NEC must be filed by January 31. If January 31 falls on a weekend, the deadline is extended to the next business day, typically the following Monday. For faster processing and confirmation, the IRS recommends filing electronically.

The Electronic Paystub

The January 31 filing deadline helps the IRS combat tax refund fraud. By receiving Form 1099-NEC early, the IRS can verify the income reported by taxpayers who file early in the season, ensuring it matches the information provided by businesses.

The Electronic Paystub

If your business meets certain criteria, you may request a one-time 30-day extension to file Form 1099-NEC with the IRS. However, this extension only applies to the filing deadline with the IRS, not the recipient copy deadline. To qualify, your request must meet one of the following criteria:

Filer suffered a catastrophic event in a federally declared disaster area
Filer was affected by a fire, casualty, or natural disaster
Filer experienced a serious illness, unavoidable absence, or death
Filer was in its first year of establishment
Filer did not receive data on an informational form, such as a Schedule K-1, in time

There is no automatic extension for filing Form 1099-NEC, and you cannot request an extension electronically. To apply, you must complete Form 8809, Application for Extension of Time to File Information Returns, and mail it to the IRS by the original filing deadline (usually January 31).

Mail Form 8809 to:

Department of the Treasury

Internal Revenue Service Center

Ogden, UT 84201-0209

Are There Penalties for Late Filing of Form 1099-NEC?

Failing to file an informational return like Form 1099-NEC by the deadline can result in IRS Penalties are assessed for the form not being filed on time. For instance, if you submit one form late, you're penalized for that single form. However, if you file 400 forms late, penalties apply to all 400 forms individually.

The penalty amount increases based on how late the forms are filed and whether the IRS determines there was intentional disregard for the filing requirements.

Penalties For Late Filing Form 1099-NEC

The IRS imposes penalties for filing Form 1099-NEC late, calculated per form and based on how late the filing occurs:

$50 per form if filed within 30 days after the deadline
$110 per form if filed between 31 days late and August 1
$280 per form if filed after August 1 for tax years 2021 and 2022
$290 per form if filed after August 1 for the 2023 tax year

Intentional Disregard

If the IRS determines that a business intentionally disregarded the requirement to file Form 1099-NEC, the penalty is significantly higher and applies per form, regardless of when it was eventually filed. The penalty amounts are:

$560 per form for tax year 2021
$570 per form for tax year 2022
$580 per form for tax year 2023

Interest Charges For Late Filing Form 1099-NEC

The penalties also carry interest charges. Interest charges continue to accumulate on any outstanding balance until the penalty is paid in full.

What Details Are Included on Form 1099-NEC?

Form 1099-NEC contains key identifying details for both the payer (business) and the recipient (nonemployee taxpayer). It also reports the total nonemployee compensation paid during the tax year, along with any federal or state tax withheld, if applicable. This information is used by the IRS to match income reported by taxpayers with what businesses have filed.

When a business engages an independent contractor, it should first request that the contractor complete Form W-9, Request for Taxpayer Identification Number and Certification. The information collected on the W-9, such as the contractor’s legal name, business name (if any), and Taxpayer Identification Number (TIN), is then used by the business to accurately prepare Form 1099-NEC at year-end.

Do try out the W-9 form generator too if you ever need to generate one!

Who Receives a Copy of Form 1099-NEC?

When a business completes Form 1099-NEC, it must send copies to both the IRS and the nonemployee taxpayer by the required deadline. If the state has an income tax, a copy must also be submitted to the state tax authority. The IRS and state agencies use these forms to verify the income reported by the taxpayer on their federal and state tax returns, helping to ensure accurate tax reporting and compliance.

Five Copies Of Form 1099-NEC

Each page on the Form 1099-NEC relates to a different copy, each with a specific purpose.

Copy A - for the IRS
Copy 1 - for state tax department
Copy B - for the recipient
Copy 2 - to be filed with the recipient's state income tax return, when required
Copy C - for payer

How Should I Handle a Form 1099-NEC I’ve Received?

When you receive Form 1099-NEC, you should use the information it provides to complete your tax return accurately. How you report this income depends on your business structure:

If you operate as a sole proprietor, you’ll typically report the income on Schedule C of your tax return (Form 1040).
If you operate as a sole proprietor, you’ll typically report the income on Schedule C of your tax return (Form 1040). If your business is a pass-through entity, such as an LLC or S Corporation, the income will be reported differently, usually through Schedule K-1 and passed through to your return.