This webinar will cover the latest updates for Form 1099-MISC, specific reporting requirements for various types of payments and payees, filing requirements, withholding requirements and reporting guidelines. It will cover filing due dates including the accelerated due dates for 1099-MISC Forms with an entry in box 7, and the safe harbor requirements for de minimis dollar amount errors. It will cover penalty provisions due diligence procedures, and exceptions to penalties including reasonable cause, common errors, and correction of errors.
Why should you attend this webinar?
The regulatory landscape for Form 1099 compliance keeps shifting as Congress attempts to balance jobs growth with narrowing the tax gap and the IRS attempts to address fraud and identity theft issues involving information returns including 1099 Forms. Over the past decade a number of changes were written into the law and regulations. While some changes have been implemented and others have been repealed, all of them created compliance challenges for businesses.
To prevent fraud involving information returns and false refund claims, the filing deadlines for certain 1099 Forms has been moved up. The IRS recognized the potential for an increase in the number of errors on filed 1099 Forms and has revised the de minimis error rules. In addition, penalties for non-compliance have been increased and are now indexed for inflation.
Form 1099-MISC will be covered in detail. It presents a special set of reporting problems since it is used to report a number of types of payments with different requirements for each type of payment.
For all information returns, the issuer must obtain correct tax identification information from recipients and, if required for a particular payee, withhold income tax from payments to that payee. These two processes involve soliciting and obtaining Forms W-9 and W-8 from payees, not only to obtain the information, but to establish due diligence and a reasonable cause penalty exception when things go wrong.
Areas Covered in the Session:
Reminders & What’s New
Changes to filing deadlines and affected returns
De minimis exception for money errors
Increases in penalties for non-compliance
Overview of information returns
Resources for compliance
A walk through Form 1099-MISC
Identification of re-portable payments and payees
Common 1099 errors-how to prevent them and how to correct them
SSN, TIN, EIN
Taxpayer identification number basics: Which number to use
Documentation that established re-portable and non-re-portable payees
TIN Solicitation & “B” Notices
Due diligence procedures avoid or mitigate penalties for missing or incorrect payee tax ID numbers
“B” notice procedures: When to issue and how to follow-up
Using the IRS TIN verification system
What it is
When to start and when to stop
How to deposit and report
Penalties and problems
Procedures and policies that establish “reasonable cause” and avoid penalties
Who can Benefit:
CFOs and controllers
Accounts payable and accounting managers
Accounts payable processing professionals
Employers and Business owners
Purchasing managers and professionals
Public accountants, CPAs and Enrolled Agents
Speaker Profile :
Patrick Haggerty is Keynote Speaker at ComplianceKey. He is a tax practitioner, author, and educator. His work experience includes non-profit organization management, banking, manufacturing accounting, and tax practice. He began teaching accounting at the college level in 1988. He is licensed as an Enrolled Agent by the U. S. Treasury to represent taxpayers at all administrative levels of the IRS and is a Certified Management Accountant. He has written numerous articles and a monthly question and answer column for payroll publications. In addition, he regularly develops and presents webinars and presentations on a variety of topics including Payroll tax issues, FLSA compliance, and information return reporting.