Articles and Tax Tips

A 1099 reporting/compliance question that frequently comes up regards the payee's obligation to mail a 1099 when the last known address is incorrect, and you cannot seem to track them down. Here is how you should handle such situations:

The Facts: A group of individuals from Puerto Rico have incorporated their band under a single name. The band then performs in the U.S. for your organization. The Question: Should 30% Non-Resident Alien withholding and Form 1042-S reporting apply? The Answer: ...

Regrettably the reporting situation presented by an untimely death is all too common. Are you prepared when this happens? If not, you need to be as there are vital differences between handling payments made involving this vendor and/or the possible entities that represent the deceased after their passing.

How to handle a vendor that provides 1099 reportable services, but to whom you have also issued an advance on an equipment purchase can be a tricky issue that needs to be handled with care...

If you have encountered such a situation do not worry. This is actually a relatively common occurrence. That said, you will need to address this problem, but your response will be dependent upon if you file on paper or electronically. 

The “TIN” or "Taxpayer Identification Number" is the identifying number assigned to a "person" under Internal Revenue Code, Section 6109. TIN's take a variety of forms and thus how the IRS differentiates its treatment of different types of TIN's matters significantly in terms of your compliance efforts... 

According to the IRS audits were up significantly last year among corporations with assets of $250 million or more. All told, last fiscal year the IRS audited nearly 30% of such corporations. What does this mean for you, and what should you watch out for? Quite simply...