Typically for homesharers, the top 1099’s that you’ll issue will be:
- Cleaners – typically cleaners are sole proprietors doing business under a fictitious business name;
- Home Improvements – any projects where an invoice was issued for over $600, and where the contractor was not a corporation will require a 1099-MISC to be issued. Make sure to include supplies if they were billed to you on the 1099-MISC;
- Landscaping – any projects above the $600 threshold require issuing a 1099-MISC to be able to claim the deduction.
HOW TO FILE 1099'S WITH THE IRS
Unfortunately, you need special 1099 forms to issue to the IRS since they each have unique numbers. You can’t simply print online and send them off. In fact there is a $50 fee for printing and sending the wrong 1099’s. You can pick these up at the post office or Staples.
Check the IRS instructions for how to mail information returns or reach out to your tax pro for detailed advice.