1099's for tax preparers

[Jesse]

Do any of you issue yourself a 1099MISC if your client paid you more than $600?

I have this situation this year as my client paid me for several years worth of tax work for his personal and schedule C business. He has no other Subcontractors, but I'm thinking I should do a 1099MISC on his behalf for monies paid for me?

[wv112]

ALWAYS prepare 1099-M's to yourself for any payments that total for the year $600 or over.....How would you explain not doing it if the client is audited.

[Jesse]

ALWAYS prepare 1099-M's to yourself for any payments that total for the year $600 or over.....How would you explain not doing it if the client is audited.

Stupid oversight and reimburse them the penalty. I normally do personal w/ quite a few schedule C but this is my first >than $600. I feel a little guilty charging him to prepare a 1099MISC to myself but yet I don't feel I should do it for nothing.

Just curious, what do others charge for 1099MISC prep?

As a side note - I do try to remind my clients that I am only human and I can make mistakes, this is why you (the client) should look over your tax returns and stop in or call witn ANY questions. Some do - some don't!

[Gretel]

I have one client whose only 1099-Misc is for my services. I decided not to charge for this. Otherwise I charge a min. of $25.

[ChEAr$]

Secret to success

Do any of you issue yourself a 1099MISC if your client paid you more than $600?

I have this situation this year as my client paid me for several years worth of tax work for his personal and schedule C business. He has no other Subcontractors, but I'm thinking I should do a 1099MISC on his behalf for monies paid for me?

in accounting is pro ration.

Since the more than 600$ included schedule c work, he (not you, although you might
prepare it) should issue you the 1099-misc only for that portion of your bill attributable
to the schedule c work, including business forms, even schedule se it has been ruled.
Just don't include the dollars for the personal aspects of the return.

[Black Bart]

Of course not.

Do any of you issue yourself a 1099MISC if your client paid you more than $600?

If I did that, how would I explain the fact that it's not on my tax return?

P.S. Oh, alright -- I'm joking. But it's against my policy to write this as I usually prefer to let misconceptions stand, but since it's not in my favor.......

[BOB W]

By the way> it is $600 or more........................not more than $600...................

[Black Bart]

My usual price

...I charge a min. of $25.

depends on what the traffic will bear. The range is $10-25 each; minimum $25 for one. Yesterday I did 7 and, in a moment of reckless daring, billed the lady (she's tight as the bark on a tree) $25 each. I'm presently awaiting a phone call that will blow the handset right out of its cradle. Your thoughts and prayers will be appreciated.

[joanmcq]

preparing my client's 1099s to me

I've done 'em all the time. In fact, the last one, the client gave me his spreadsheet with his ICs on it and it had my amount but no SSN or address. He says, I figure you know this info!

Last year I issued my first one; to my ex for land rental that was reported fully under my SSN. That was fun.

[Jesse]

depends on what the traffic will bear. The range is $10-25 each; minimum $25 for one. Yesterday I did 7 and, in a moment of reckless daring, billed the lady (she's tight as the bark on a tree) $25 each. I'm presently awaiting a phone call that will blow the handset right out of its cradle. Your thoughts and prayers will be appreciated.

You're in my prayers!! I bill $25 minimum for the first 2 and $5.00 each additional payee after that.

[Black Bart]

Joan / This calls for a cliche.

...Last year I issued my first one; to my ex for land rental that was reported fully under my SSN. That was fun.

How about "What goes around comes around"?

No, no, that's not quite it....umm...maybe (yuk-yuk) this one: "Hell hath no fury like a landlady scorned."

[Snaggletooth]

Impediment

I consider issuing 1099s as a nuisance, but I do them, even if I am a payee for a business return. I make such a big point telling clients they are necessary if they want to deduct their payments, and that if they don't, then they are incurring profit so that their payee cronies won't have to report the income. (Actually the requirement does not give the payer the option of excusing himself from this at the cost of losing the deduction)

In the process of doing a sch C, sch E or corp/partn returns, having to stop and issue 1099s just stops the bus. I charge $25 for the 1096, plus $3 per 1099, plus 15% printing/mailing fee. So just to issue one, they have to pay me $26.45. If they have more than one, it gets more economical for them. For example, three of them costs $39.10. I have one guy who has at least 30 every year. This costs $132.25 - not a bad deal at all for that many. Lots of envelopes, cutting, printing, stuffing, etc.

[veritas]

Hate doing them

$60 for the first one and $15 for each additional. Also personal property returns $45 each. Census reports minimum $25. Fringe benefits, one auto $65, second $20 plus $15 for each Health Insurance Fringe.

[Black Bart]

What?

...Census reports minimum $25...

You charge for these? Plundering barbarian! I, magnanimously, have been doin' these for nothin' out of the kindness of my heart (also because they're so easy). Still, since you've blazed the trail and there is money involved and business is business....hmmm....maybe I should rethink my position..

P.S. Funny/good quote, as usual. Also, the recent one re "errant ways" by that guy who's slightly less famous than Heath Ledger was nice.

[Black Bart]

1099/W-2 Fees

...I charge $25 for the 1096, plus $3 per 1099, plus 15% printing/mailing fee. So just to issue one, they have to pay me $26.45. If they have more than one, it gets more economical for them. For example, three of them costs $39.10. I have one guy who has at least 30 every year. This costs $132.25 - not a bad deal at all for that many. Lots of envelopes, cutting, printing, stuffing, etc.

Yeah, that's a good deal alright.

About my $25 per form price above, that was actually for five W-2s and two 1099s rather than all 1099s (I charge the same price for both). But the seven forms for $175 isn't as steep as it seems -- it's a package price that included the 941, 940, and state unemployment quarterly reports and no charge for the 1096/W-3. So I guess I have a volume discount too, although mine's not set in stone and I mostly play it by ear (I never, as my wife complains, quite get around to nailing anything down firmly).

Do you prefer to charge per item/report and/or do you sometimes use all-in-one pricing?