Description
Payments to independent contractors will no longer be reported on Form 1099-MISC, Box 7. Instead, tax year 2020 will revive an old Form 1099-NEC to separate these payments from other miscellaneous forms of income. In recent years, independent contractor payments for self-employed individuals and the categorization of workers as independent contractors versus employees have been targeted by both the IRS and state level taxing authorities. The reintroduction of Form 1099-NEC hopes to better define these payments to avoid later misreporting and possible miscategorization.
This webinar will introduce Form 1099-NEC and teach practitioners how to differentiate between income reportable on Form 1099-MISC vs. 1099-NEC. The key differences between employees receiving W-2 income and independent contractors receiving 1099-NEC income will also be highlighted. Practitioners will learn how to complete and submit the Form 1099-NEC and how toreflect income reported on Form 1099-NEC on taxpayers’ returns as well as penalties associated with the form and how to avoid being subject to various penalties.
Topic Highlights:
· Form 1099-NEC for Independent Contractor Income
· Revisions to Form 1099-Misc
· Key Differences Between Independent Contractors and Employees
· Completion and Submission of Form 1099-NEC
· Withholding Requirements and Procedures
· Due Dates and IRS Penalties Related to Worker Classifications and Form Filings
· Reimbursement Differences for Employees and Independent Contractors
· Importance of Form W-9 for Differentiating Employees vs Independent Contractors
· Common Form 1099 Errors and How to Avoid or Correct Penalties
Who Should Attend:
· HR Professionals/Managers
· CFOs and controllers
· Tax preparers
· CPA
· Public Accountants
· Accounting managers
· Accounts payable processing professionals
· Employers and Business owners
· CPAs and Enrolled Agents
· Purchasing managers and professionals
This webinar has been approved for 1.5 HR (General) recertification credit hours toward aPHR™, PHR®, PHRca®,SPHR®, GPHR®, PHRi™ and SPHRi™ recertification through HR Certification Institute® (HRCI®).