IRS has published a new update on Form 1099 Misc (2022). They have revised Box 13 to Box 17. If you are planning to hire anyone as an independent contractor or you are a freelancer, then you might need to keep a close eye on these changes.
The updated 1099 MISC will be required for the 2022 tax year reporting. Below is the updated structure for a Form 1099-MISC that the IRS published. Learn more about the changes to form 1099 misc.
Table of Content
- What’s New in 1099 MISC Tax Return for 2022?
- Here’s What Reported on IRS Form 1099 MISC in 2022
- 1099 MISC FATCA Filing Requirement Checkbox
- Form 1099 Miscellaneous Return Box 16-18 State Information
What’s New in 1099 MISC Tax Return for 2022?
The IRS has revised Box 13 in 2022. There’s a new box number 13 assigned to Foreign Account Tax Compliance Act filing requirement check box. Old box numbers 13 to 17 have been renumbered to new box numbers 14 through box 18 respectively.
Here’s What Reported on IRS Form 1099 MISC in 2022
As per the new update, box 13 has been revised & box 18 is added. Along with adding & revising boxes 13 and 18, boxes 14 -18 have been renumbered. Here’s what you need to know before filing a 1099 MISC Form:
| Boxes | Payments |
| 1 | Rents |
| 2 | Royalties |
| 3 | Other Income |
| 4 | Federal Income Tax Withheld |
| 5 | Fishing Boat Proceeds |
| 6 | Medical and Health Care Payments |
| 7 | Payer Made Direct Sales Totalling $5,000 or More |
| 8 | Substitute Payments in Lieu of Dividends or Interest |
| 9 | Crop Insurance Proceeds |
| 10 | Gross Proceeds Paid to an Attorney |
| 11 | Fish Purchased for Resale |
| 12 | Section 409A Deferrals |
| 13 | FATCA Filing Requirement Checkbox |
| 14 | Excess Golden Parachute Payments |
| 15 | Nonqualified Deferred Compensation |
| 16–18 | State Information |
1099 MISC FATCA Filing Requirement Checkbox
Check Form 1099 MISC Box 13 i.e., FATCA Filing Requirement Checkbox only If:
- You are a US payer
- Reporting a Form 1099 to satisfy your requirement to file with respect to a U.S. account for purposes of chapter 4 of the Internal Revenue Code, as described in Regulations section 1.1471-4(d)(2)(iii)(A)
Additionally, check the box if:
- You are an FFI
- Reporting payments to a U.S. account in accordance with Regulations section 1.1471-4(d)(5)(i)(A)
Finally, check the box if:
- You are an FFI making the election Regulations section 1.1471-4(d)(5)(i)(A)
- Reporting an account for chapter 4 purposes for which you did not make any payments in the year that would be reportable on any relevant Form 1099
Form 1099 Miscellaneous Return Box 16-18 State Information
Payers who participate in the Combined Federal/State Filing Program and/or who are required to file paper copies of this form with a state tax department may use these boxes. They are provided only for your convenience and do not have to be completed by the IRS.
Report payments for up to two states using the state information boxes. Separate each state’s information with a dash. Inbox 16, enter the amount withheld state income tax on this payment. Box 17, provides the abbreviated name of the state and the payer’s state identification number. Each state assigns a unique number to identify the payer. Enter the amount of the state payment in box 18.
As the tax year comes to a close, people are anxious to file their taxes. Many are curious to see if they owe money, or if they will get a nice refund. Others, however, are worried about the penalties they could face if they make a mistake on their forms. This post will help you to take action today to avoid these problems and save your business money. For more information visit Form1099Online or Call +1-316-869-0948