Professional 1099 Filing Services
Managing independent contractors and vendor payouts requires diligent, year-round record-keeping. At year-end, the IRS requires businesses to accurately report non-employee compensation. Failing to properly classify, calculate, and submit your 1099s can result in massive fines.
Professional 1099 Compliance Solutions
Mandatory IRS E-Filing Update
As of recent tax years, businesses filing 10 or more returns (in aggregate across all tax forms) must file electronically. Paper filing is no longer a legal option for most businesses. Maxim Liberty handles this mandatory e-filing process for you through our secure, IRS-approved enterprise software.
We do not just “file forms.” We audit your raw payment data to ensure you aren’t over-reporting expenses or missing key vendors. We carefully distinguish between 1099-NEC (Non-Employee Compensation) and 1099-MISC (Rents, Royalties, Prizes) to prevent classification errors that trigger IRS audits.
The Cost of Non-Compliance
The IRS has strictly increased the penalties for late, inaccurate, or missing 1099 filings. Currently, penalties can reach up to $310 per form for late filings, and intentional disregard of filing rules can trigger penalties of $630 or more per form with no maximum limit. Outsourcing your 1099 prep to Maxim Liberty is a fraction of the cost of a single IRS penalty.
Our Core 1099 Capabilities
We provide end-to-end management of your vendor reporting season, including:
W-9 Management & Collection
Are you missing a W-9 for a new contractor? We can reach out to your vendors directly to collect updated forms, ensuring you have the exact legal documentation required to file accurately.
TIN Matching Verification
We verify Taxpayer Identification Numbers (TIN/SSN) against official IRS records before we file. This crucial proactive step prevents “B-Notices” and backup withholding penalties later in the year.
Print & Mail Fulfillment
Stop stuffing envelopes. In addition to e-filing with the IRS, we handle the physical logistics. We provide secure PDF copies, direct USPS mailing to recipient contractors, and electronic delivery options.
1099 Correction Filings
Made a mistake on a previous filing or had a vendor dispute an amount? We handle official 1099 corrections (both Type 1 and Type 2 errors) to fix dollar amounts, incorrect payee details, or missing TINs.
Our 1099 Tech Stack
We are platform-agnostic and can handle your filings using your preferred bookkeeping tools or through our own secure enterprise accounts. We manage state-specific filings for states not covered by the Combined Federal/State Filing (CFSF) program, and seamlessly integrate with:
Frequently Asked Questions
Who specifically must file a 1099-NEC?
You must file Form 1099-NEC for each person to whom you have paid at least $600 during the year for services performed by a non-employee (including parts and materials) or payments to an attorney. Crucial Exception: You generally do not need to file 1099s for payments made to C-Corporations or S-Corporations, unless they are for legal services or medical/health care payments.
Do I file a 1099 if I paid a vendor via Credit Card or PayPal?
No. This is a very common misconception. If you pay an independent contractor via credit card, debit card, or a third-party settlement organization (like PayPal or Stripe), you do not file a 1099-NEC. The payment processor is responsible for reporting those transactions to the IRS on Form 1099-K.
What are the critical IRS deadlines for 1099 filing?
Form 1099-NEC must be filed with the IRS and furnished to the recipient by January 31. There is no automatic 30-day extension for this form. Form 1099-MISC must be furnished to recipients by January 31, but the IRS filing deadline is February 28 (if filing on paper) or March 31 (if filing electronically).
What information do you need to get started with 1099 filing?
To file accurate 1099s, our bookkeepers need your Business legal name, address, and EIN; the Vendor’s legal name, address, and TIN/SSN (collected from their Form W-9); and the total payment data for the tax year (excluding credit card and PayPal payments).
Avoid IRS Penalties & Late Fees
Secure your compliance today. Ensure your 1099s are perfectly calculated, TIN-matched, and e-filed well before the January 31st deadline.
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