MicrostockGroup
Agency Based Discussion => Dreamstime.com => Topic started by: sweetgirll on February 03, 2012, 19:43
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Hi guys,
Does DT send 1099s if you made less than $200?
Did anyone received the forms already?
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They only send out 1099s if you make over $599. I got mine a few days ago. Legally all 1099s have to be mailed by Jan. 31st.
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Oh Okay
I always stress when I'm waiting for 1099s...
I only earned $150 from Dreamstime this year, so I was waiting to get the 1099 in the mail. But thanks for replying if they only send it to the people who makes more than $599 I will not be getting one...
I asked, because I have got from different places like a 1099 for very small ammounts, like even $19 bucks, but I guess some places probably send that voluntarily.
Thank you for replying.
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For royalties they should send if it is over $10, for other income rule is $600 so I do not understand why agencies can freely choose the second one if IRS states; "Use box 2 to report royalty payments from intangible property such as patents, copyrights, trade names, and trademarks. Report the gross royalties (before reduction for fees, commissions, or expenses) paid by a publisher directly to an author"
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I believe that the agencies don't "have to" send out a 1099-MISC unless the amount earned is over $599. However, they may "report" payments to the irs made below that. DT has never stated if they do or don't report all earnings (they have an office in Tennessee so are considered a US company). They simply say to refer to your tax accountant for more info. This question is asked every year over at DT and they are vague -
From the irs.gov site -
It is a common misconception that if a taxpayer does not receive a Form 1099-MISC or if the income is under $600 per payer, the income is not taxable. There is no minimum amount that a taxpayer may exclude from gross income.
All income earned through the taxpayer’s business, as an independent contractor or from informal side jobs is self-employment income, which is fully taxable and must be reported on Form 1040.
Independent contractors must report all income as taxable, even if it is less than $600. Even if the client does not issue a Form 1099-MISC, the income, whatever the amount, is still reportable by the taxpayer.
Fees received for babysitting, housecleaning and lawn cutting are all examples of taxable income, even if each client paid less than $600 for the year. Someone who repairs computers in his or her spare time needs to report all monies earned as self-employment income even if no one person paid more than $600 for repairs.