Friday, January 11, 2013

Clear as Mud

After posting last week, a client sent me the instructions to Form 1099-Misc with clearing conflicting instructions in regard to issuing a 1099 to a corporate entity.

As you read through the instructions, the word "except for" appears over and over again, making it extremely hard for the reader to comprehend.

So do you need to 1099 a corporate entity or not? The information retained from the last income tax seminar I attended clearly said there were no exceptions for corporate entities as in the past. That being said, several revisions were made to the law, and it is quite possible this has been rescinded. So, stay turned. I'll be attending yet another income tax seminar next Friday, and hopefully, they will have the correct answer.