What is a Form 1099-MISC?

Form 1099-MISC is a tax form used in the United States to report certain non-wage income paid to an individual or business during the tax year. This includes payments that fall outside standard employment, such as rent, royalties, prizes, or awards.

Form 1099-MISC is used to report the total amount of these qualifying payments made during the tax year. For tax year 2025, it must be provided to the recipient by February 2, 2026, and filed with the IRS by March 2, 2026 (paper) or March 31, 2026 (electronic).

Form 1099-MISC is used to report a variety of payment types, including:

• Rent: Income received from leasing real estate or personal property

• Royalties: Payments exceeding $10, reported in Box 2

• Prizes and awards: Cash or property received as a prize or award

• Medical and health care payments: Payments made to healthcare providers for services rendered

• Crop insurance proceeds: Insurance payouts covering agricultural losses

• Gross proceeds paid to attorneys: Payments connected to legal matters such as settlement agreements

Form 1099-MISC is not used to report wages or salaries earned as an employee, those are reported on Form W-2. It is also no longer used to report payments to independent contractors for services, which are now reported separately on Form 1099-NEC.

Beginning with the 2026 tax year, the minimum reporting threshold increases from $600 to $2,000 under the One Big Beautiful Bill Act.

Businesses filing 10 or more information returns are now required to file electronically.

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