1099 Preparation
Preparing and filing 1099 forms for contractors and vendors. We track payments throughout the year, collect W-9s, and file accurate forms before the deadline.
What This Covers
If you pay contractors, subcontractors, or certain vendors $600 or more during the year, the IRS requires you to send them a 1099-NEC form and file a copy with the government. The deadline is January 31. Miss it and you are looking at penalties that start at $60 per form and go up from there depending on how late you are.
This service handles the entire process. We track your contractor payments throughout the year, collect W-9 forms from the people you pay, prepare the 1099s, and file them on time. The starting price covers up to five 1099s per year, and scales from there based on how many contractors and vendors you work with.
Year-Round Tracking
Year-Round Tracking
We don’t wait until January to start scrambling. Contractor payments are tracked as they happen throughout the year. When a new vendor comes on, we make sure a W-9 is collected upfront so there is no chasing people down in December when they are hard to reach.
Filing and Delivery
Filing and Delivery
We prepare every 1099-NEC with accurate amounts, file the forms with the IRS, and deliver copies to your contractors and vendors before the January 31 deadline. You get a summary of everything that was filed so your records are complete and ready for tax season.
Where Things Go Wrong
Most small business owners don’t think about 1099s until their tax preparer asks for them in February. By that point the deadline has already passed. Now you are filing late, paying penalties, and trying to remember every contractor you paid over the past twelve months. You are digging through bank statements and Venmo history trying to piece it all together.
The other common problem is missing W-9s. You hired a painter or a freelancer eight months ago, paid them, and never collected their tax ID. Now you can’t file a proper 1099 for them, and that contractor is not returning your calls. The IRS doesn’t care about the difficulty of tracking someone down. They care that the form wasn’t filed.
Penalties Add Up Fast
Penalties Add Up Fast
The IRS charges per form, per late filing. If you have 15 contractors and you miss the deadline by a month, the fines alone can easily hit over a thousand dollars. File more than 60 days late and the penalty jumps to $310 per form. It turns into real money very quickly.
Tax Preparer Headaches
Tax Preparer Headaches
Your tax accountant needs to know exactly how much you paid to contractors during the year. If your records are incomplete or your 1099s don’t match your books, it creates extra work and potential errors on your business return. Clean 1099 records make your tax filing smoother and can help avoid costly mistakes.
What This Looks Like
January rolls around and you don’t have to worry about it. The W-9s are already collected. The payment totals are already tracked. The forms get prepared, reviewed, filed, and delivered without you having to chase anyone down or figure out the IRS e-filing system on your own.
Your tax preparer gets a clean summary showing every contractor payment and every 1099 that was filed. The numbers match your books. There is nothing to reconcile or second-guess. You stay compliant without it ever becoming a fire drill at the end of January.
Nothing Falls Through the Cracks
Nothing Falls Through the Cracks
Every contractor is accounted for from the day you first pay them. W-9 collection happens at the start of the relationship, not as a last-minute scramble. When filing season arrives, the data is already organized and verified. You don’t lose sleep over whether you forgot someone.
Your Books and Your 1099s Match
Your Books and Your 1099s Match
Because we track contractor payments as part of the bookkeeping process, the amounts on your 1099s tie directly to your financial records. Your tax accountant sees consistent numbers across the board, which means fewer questions and a faster, more accurate tax return for your business.
Bookkeeping for East Valley Small Businesses
The Next Step:
Tell Us About Your Business
Let us know where things stand with your books and what kind of help you're looking for. We'll give you an honest assessment and a clear price.
