A printable 1096 form 2020 may seem like a relic of the past, but many businesses still file manually. The form is used frequently by businesses to hire contractors. While this is an increasingly common practice, paper filing is not.
Still, if you have a small business and need a refresher of when to file a 1096, this guide is for you. Below, you’ll find information about situations in which a business might need to use a 1096 in 2020. Additionally, we’ll explain why investing in a tax software tool means less work for you when tax season rolls around.
What Is Form 1096?
In brief, form 1096 is a summary of tax forms you file. You complete a 1096 for each type of form you file manually – mainly 1099s. The IRS stores prior year versions of the form here. There are slight formatting differences between the printable 1096 form 2018 and the 2020 version, but the content remains consistent. The form asks for the business’s identifying information, total number and type of form, and the total amount of income tax withheld. You must have a scannable version of the form, which you can order from the IRS or find in an office supply store. Finding old versions like the printable 1096 form 2018 might be difficult.
When You Need to File Printable 1096 Form 2020
If your business files taxes manually, you need to include a 1096 form 2020 in your mailing to the IRS. There are seven forms that require a summary: 1097, 1098, 1099, 3921, 3922, 5498, and W2-G. The most relevant to small businesses is the 1099, used for reporting miscellaneous income and non-employee compensation, such as contractors.
For all the 1099s you file, you fill out one printable 1096 form 2020 to supply the IRS with information about all included documents.
You do not file a 1096 when you file taxes electronically. The other exclusion is if you need to file 250 or more of a type of form. In this case, you are required to file electronically or face a penalty from the IRS. If you choose to continue filing manually, you will always have to order 1096 forms from the IRS, which can take up to 10 days to arrive, or find them at an office supply store.
How a Filing Software Can Help
If you’re running a small business, you probably have your hands full. Tax filing can feel like a burden, but we want to help. Invest in a 1099/W2 filing software like ours to simplify your tax season. Tax filing software allows you to electronically file your taxes with the right add-on tools. When you file online, you have no need to complete printable 1096 form 2020. A small investment in a filing software will pay for itself when you do not have to track down tax forms and can file more efficiently.
Our software is user-friendly and compatible with your current bookkeeping methods. Choosing a filing software makes your life easier by eliminating the need to complete multiple 1096 forms. If you have any questions about our resources, give our Sales and Information team a call at 800-536-1099.