Communicating to clients about Form 1099-MISC requirements

Each year about this time, we communicate with all prior year business clients about the need to file forms 1099-MISC.  The communication explains the payments and payees which must be reported.  We also remind the client that we can provide these services for them.   The reminder includes the deadlines to get information to us.

There is nothing worse than having these discussions with the client after the 1099 filing due date.  Some clients are quick to go on the defensive and change the topic.  Its no longer about the need to file the 1099s, its about why YOU did not tell them, why YOU did not know they had contractors needing the filings done, etc.   Even worse - getting to an audit where the client states that you as the tax professional never told them to file the 1099s.

You can download a copy of our communication here.  Please feel free to adapt it for use in your practice.   Remember to remove my details from the communication you send out.