What Happens If a 1099 is Late?

Prepare to pay some type of penalty if you file a late 1099 form. The major deadline to put down on your calendar is Jan. 31. Send out a 1099 form by that date to the person or company that you paid for their services. That is only one important deadline when you prepare 1099s for your contractors and the Internal Revenue Service. Keep in mind the following relevant dates for:

Form 1099-NEC – Send the recipient and IRS (both paper or electronic) copies by Jan. 31.

Form 1099-MISC – Send the recipient copy by Jan. 31. Employers must send paper IRS copies by Feb. 28 and electronic IRS copies by March 31.

Businesses that fail to issue any of the forms by the deadlines incur penalties from the IRS. The penalty ranges from $50 to $290 per information return in 2023. You will not face as severe of a penalty if you send late forms as soon as you realize your mistake. The IRS will penalize you as well if you intentionally disregard its deadlines and requirements. The minimum penalty in 2023 for intentional disregard is $580, with no maximum. Avoid worrying about what happens if a 1099 is late with tax and accounting software. We help small businesses efficiently file and submit 1099 forms with our W-2/1099 Forms Filer. Learn how you can add on E-File tools with our free demo or call us at (405) 340-0697 for more support.

Software Solutions from AMS

Our W-2 and 1099 Forms Filer is our only required platform. From there, users pick the services they need. Choose from the tools below to build out your customized accounting software.