The Internal Revenue Service, or IRS, requires individuals to report their sources of income including sources that do not withhold taxes before issuing payment. Form 1099 is the tax form used when there were no tax deductions taken from wages or other compensation that you receive. There are various versions of form 1099, all of which are used for reporting specific type of income from specific sources.

When Must a 1099 Be Issued?

Businesses and individuals who compensate an individual an amount of $600 or more in the tax year must issue a 1099 to that person for tax filing purposes.

Gambling Winnings

Gambling winnings, including prize merchandise value, will often be reported on either a W2G or a form 1099-MISC. Other types of income reported on this type of 1099 include rental income, royalties, and other non-employee compensation paid.

Retirement Plans

Early distributions from a 401(k), pension, IRA, or other type of retirement plan are subject to federal taxes. These distributions are reported on a form 1099-R.

Social Security Benefits

Form SSA-1099 is a Social Security Benefit Statement. This form will be sent by the Social Security Administration if your specific type of social security benefits fall into the taxable category. Not all social security benefits are taxable.

Other Versions

Other popular Form 1099 versions include Form 1099-B for proceeds from broker and barter exchanges, Form 1099-DIV for dividends and distributions, Form 1099-INT for interest income, Form 1099-G for payments from the government, and Form 1099-H for advance health insurance payments. Other variations of Form 1099 may be issued based on compensated events throughout the tax year.

Source:

IRS.gov: Form 1099

IRS.gov: Guide to Tax Forms

IRS.gov: Form 1099 PDF

Resource:

IRS.gov: Internal Revenue Service