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Who Needs a 1099?

Learn more about who requires Form 1099 to help you save money on form purchases.

Juggling employees, vendors, and calculations of the pay dealt between them is a tough task already. The looming presence of period end only makes it worse. Use these examples to determine who requires which form.
Decker & Decker, LLC

In order to expand the church and construct a gym, this law firm was hired to help negotiate zoning and plotting of the new building and to ensure payment with the town went smoothly. This was a pricey endeavor as they received over $600 for their assistance. Because this is an attorney fee, Decker & Decker requires Form 1099-MISC at the end of the year.

Note: The information provided is for informational purposes only and should not be construed as legal advice.
Builder Bros. Repair Service

This independent repair service was hired to fix the sanctuary's cracking walls and leaky roof. They were paid well over the $600 to receive a 1099 for their work. Because their company worked on behalf of the church but are not employees of the church, they require Form 1099-NEC at the end of the year.

Deli Delights

Every once in a while, a group would stop by Deli Delights, eat, and pay with the church's credit card. Whether the total was over $600 or not, this restaurant does not require a form for providing a general service.

Judy the Pianist

Judy Thompson, our beloved virtuoso, is an employee at the church. This automatically eliminates her from requiring a 1099. However, she does require Form W-2 in order to review the pay she has earned.