If you are expected to distribute a free fillable 1099- MISC form 2016 and feel nervous about keeping all the back-filing in order, there is a solution. Back-filing can be made easier with the help of tax software. Advanced Micro Solutions offers tools to help keep tax information, past or current, organized and accessible.
What to Know About the 2016 1099 MISC
Understanding the form itself is an integral first step of the filing process. The 1099-MISC form should be filled out for each person to whom someone has paid at least $10 in royalties or broker payments in lieu of dividends or tax-exempt interest. It also applies to those who have paid at least $600 in: medical and healthcare payments, rents, crop insurance proceeds, cash payments for fish and other aquatic life purchased from anyone within the fishing trade or business, payments to an attorney, other income payments, any fishing boat proceeds, or cash for a notion principal contract. The 1099-MISC form also reports on direct sales of $5,000 or more for resale consumer products purchased from any place besides a permanent retail establishment.
The form can be especially relevant for self-employed filers, like independent contractors or freelancers, if their transactions fall under the umbrella of the form’s definition.
Changes to the 1099 MISC
It is important to locate a free fillable 1099-MISC form 2016 rather than, say, the 1099-MISC form 2020 or 2021. This is because the IRS revised this specific form in 2020. Transactions for nonemployee compensation that take place after 2020 can be documented on the 1099-NEC form instead of the 1099-MISC form. If the transaction that needs to be filed occurred in 2016, there is a free fillable 1099-MISC form 2016 available on the IRS website. Print copies are available for sale at some office supply stores.
When a Software Tool Can Help
An organizational tool can be especially handy when dealing with back-filing documents for a prior tax year. For example, if someone seeking a free fillable 1099-MISC 2016 form needs to file along with several other tax documents, a software tool can help keep each employer’s forms organized.
The 1099-MISC form often pertains to self-employed filers, independent contractors, and freelancers. These taxpayers can have multiple sources of income, as well as nonemployee compensation. Correctly gathering, organizing, and inputting this sensitive information is of the utmost importance, specifically if the transaction has taken place in the past. Do not let the fear of organizing back taxes keep you from filing as soon as possible. This 2016 transaction is easily documented. Provide a copy of a free fillable 1099-MISC 2016 and keep the W-2/1099 Filer at the ready.
Advanced Micro Solution’s W-2/1099 Filer can assist in the sometimes complicated and frustrating tax process. The system supports up to 1,999 payers or employers, which means that, back-filing or not, this software can keep up with your many tax obligations. Be it a free fillable 1099-MISC 2016 form or a different tax document, data input into the W-2/1099 system is automatically saved. This ensures that past documents are always accessible. Tax software can prevent negligence and misfilings, ultimately saving business owners a lot of time and money.