1099 tax form?

Question

what is the reason to have employees fill out a 1099 tax form??

Answer 1

It means you are considered self employed and your individual taxes will be a lot more. It means the employer is chipping in diddle squat to your social security, medicaid or any of the usual things. It might seem like you are getting paid more but it will all bite you in the a s s at tax time.

Answer 2

Employees don't fill out 1099 forms, companies do in some cases. But not for employees - a person who gets a 1099 is classified as an independent contractor. The contractor fills out a W-9 form for the company, and the company provides a 1099 at the end of the year.

It's cheaper for the company to have people working on a 1099, since the company doesn't pay employer taxes on them. Some companies illegally classify someone as a contractor rather than as an employee to save these taxes. Whether you're a contractor or an employee depends on your job duties - the employer can't legally just decide which way to classify someone.

Answer 3

You don't file a 1099. The employer would send you a 1099-Misc for non-employee income (if your income is over $600). This would then be put on a Schedule C (subject to self employment tax), unless you have a company, then it would be put on the return for the company. The 1099 is sent to the IRS (just like a W-2 is) so the IRS has a record of it. Keep track of your expenses for this business since some of them may be deductable. You may want to see an accountant when it comes to filing your tax return if you have more questions.

Answer 4

1099 and 1040's are all illegal forms go to www.givemeliberty.org and find out that the incometax on american people are illegal .

Answer 5

the 1099 INT tax form summarizes the interest income you recieve, and let's you report tax items like early withdrawal penalties, federal tax witholdings, or foreign tax paid.