Here it is a question regarding for the tax, last year, I hired a seasonal worker for me, and paid about $1200 for him, but since he is only working for about one month, I forgot to mention this to accountant, and no 1099 was filed.
Recently, I like to hire him back again, and ask him whether he filed tax return last year, he said he did, I think I may need to give him a 1099, but can not find anywhere.
Question is, can I still file 1099 for him ( for year 2006), if I can, what kind of procedure I should go through, is there any kind of penalty from IRS and state (NY state) ?
Thanks.
2007-08-16 04:41:58 · 2 answers · asked by nyeastufo 1 in Business & Finance ➔ Taxes ➔ United States
yes you can just file the 1099 and 1098 for the year 2006 now. there are late penalty's for both the IRS and the state but it is better to file than not file(ask your accountant why). IRS regs say that anyone receiving 500 or more in a year must get a 1099 to be deductible to the employer
2007-08-16 05:14:55 · answer #1 · answered by Anonymous · 1⤊ 1⤋
You state that this person is your employee. If that is the case, then you may NOT file a Form 1099. You must prepare a Form W-2 and give it to him. If you have failed to include this person on your payroll tax returns and withhold and pay the taxes then you do have a significant, costly problem on your hands. Your accountant should be explaining this to you. If he or she is not, it's time to get a new accountant.
2007-08-17 01:49:31 · answer #2 · answered by Bostonian In MO 7 · 0⤊ 0⤋