Tax Tips: Help! I got a 1099. What do I do?
Mar 14th 2008 11:30AM
Updated Mar 14th 2008 12:26PM
You should report the income from the 1099 on Schedule C or Schedule C-EZ. You can also deduct expenses directly related to earning this income. If you have net earnings (income greater than expenses) of $400 or more, you will have to pay self-employment taxes, and should fill out Schedule SE.
Another note: Any income you receive for work should be reported on your taxes. So if you do work as a subcontractor and receive money, but don't get a 1099, you're still required to report that income on your tax return.
Tracy L. Coenen, CPA, MBA, CFE performs fraud examinations and financial investigations for her company Sequence Inc. Forensic Accounting, and is the author of Essentials of Corporate Fraud.