Articles and Tax Tips

THIS MONTH'S FEATURED SUBSCRIBER ARTICLE: Settlement Payments and Court Filing Fees - To Whom Do You Form 1099 Report?

Settlement payments have a well deserved reputation for causing Form 1099 reporting headaches. We spend quite a bit of time worrying about reporting to; claimants, their attorney, and so on. But there are often other payments associated with settlements which can have their own reporting consequences: such as court collected filing fees.

 

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TAX TIP OF THE WEEK: Your Payees and The New W-9's New Exempt Payee Code Field

Hopefully you know that the new (August 2013) Form W-9 form has a new provision entitled “Exempt payee code (if any)”. However, must your payee fill in this field if they fall under one of the 13 listed exemption groups? In this week's tax tip let's take a look at IRS expectations regarding your compliance requirements and this new field.

 

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TAX TIP OF THE WEEK: How Many Times Must I Solicit a Payee For a Missing TIN?

It's that time of the year again. You are preparing to file information returns and lo and behold you can't find your vendor's TIN. No B-Notice has ever been issued but the question remains; how many times per year does the Internal Revenue Code require you to solicit a payee for a missing TIN?

 

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THIS MONTH'S FEATURED SUBSCRIBER ARTICLE: To Whom Do You Report When Your Vendor Passes Away?

You have a vendor who passed away, but you still have invoices that need to be paid.  From there you receive paperwork indicating payment should be made to the vendor's estate.  What should you do? Report to the vendor/contractor or to their estate?

 

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TAX TIP OF THE WEEK: Rent and The Form 1099-MISC vs. the Form 1099-S

Box one of the Form 1099-MISC continues to cause confusion regarding identifying reportable payments. This week we shall look at one such box one issue: the lease of real property and when you should NOT be reporting such payments on the Form 1099-MISC.

 

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TAX TIP OF THE WEEK: The Form 1099-MISC and Box 6 or Box 7 Reporting?

For years the Form 1099-MISC box 6 vs. box 7 debate has confused information reporters. This week we want to remind you of a clear and simple rule that you can rely upon so that this year your reporting is in IRS compliance.

 

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TAX TIP OF THE WEEK: Michigan Cities Requiring Form 1099 Reporting

Though you are currently focusing in on federal and state level reporting issues for this filing season we do want to remind you that many cities also have Form 1099 filing requirements. For instance, take a look at this list of Michigan cities:

 

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THIS MONTH'S FEATURED SUBSCRIBER ARTICLE: New Michigan Law Targets Businesses Generating In-State Revenue

On June 5, 2013 the Michigan Department of Treasury Issued Revenue Administrative Bulletin 2013-9. This new set of regulations clarifies what it is to have nexus with the state of Michigan such that an out of state organization’s in-state activity creates a potential reporting requirement.

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TAX TIP OF THE WEEK: Determining Where You Are Subject to State Reporting Laws

Nexus is a legal term of art that describes the connection you have with a specific state, such that you are subject to those state tax reporting requirements. Determining nexus is a highly fact and circumstance dependent exercise. What follows are some of the elements you should consider in determining whether or not you have nexus with a particular state:

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THIS MONTH'S FEATURED SUBSCRIBER ARTICLE: State Reporting in State's With No Income Tax

There is still ample confusion regarding which states actually have reporting requirements and which states don’t. One commonly keyed upon metric is whether or not a state has a state income tax. But which states are these? And, is a lack of a state income tax enough to avoid a reporting requirement in that state?

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