Overview
Form 1099-NEC reports nonemployee compensation of more than $600 in a calendar year via check, bank or money transfer, cash app, etc. If you paid a contractor via credit card, you do not need to file a 1099.
Tax Season Kickoff Survey
To file 1099-NEC with Heard, you need to first have answered “Yes” to the question about filing 1099-NEC in the Tax Season Kickoff Survey. Beginning on January 6th, you will have access to enter your contractor's information.
You may opt-in for Heard to file your 1099-NEC up until January 21st. If there are any changes in how much you’ve paid your contractors or if you’ve paid new contractors, please edit your filing(s) here.
After this date, please see How to file 1099-NEC outside of Heard.
1099-NEC Survey
Please complete the survey and add each contractor's information by January 21 to file the 1099-NEC by the IRS deadline of January 31. It’s important to request a W-9 Form from your contractor as all the filing information needed is on this form.
To begin please go to Taxes>Annual The following information is required for each contractor:
- First and Last Name
- Business Name *if applicable
- Tax Identification Number: If this contractor has a Business Name, enter their EIN. Otherwise, enter their SSN.
- Street Address: Please double-check that this matches the address on their W-9.
- The total amount paid to the contractor in 2024
- Contractor Email address: This enables us to notify the recipient of 1099-NEC Filing Statuses
Please note: You must complete all required information and make any necessary corrections by January 21.
What happens after I submit contractor information?
After you submit, Heard will verify that the contractor's information matches their IRS record. The 1099-NEC will be submitted to the IRS and emailed or mailed to your contractor, depending on your selection.
If there’s an issue with a contractor’s information, we’ll email you ASAP. If the IRS rejects the information, we'll let you know and ask you to check with your contractor to make sure they've provided the correct details.
Once the 1099-NECs are successfully filed, we’ll notify you, and you can download them in Documents>Taxes.
Please note: We recommend contacting your contractor to ensure they’ve received a copy of the 1099-NEC.
Where can I download the 1099-NEC for my contractor?
If your filings have been processed successfully, you can download the filed 1099-NEC by going to Your Practice > Documents > Taxes and then locating the file by the contractor's name.
What if I need to make corrections?
If you need to make corrections, you can do so by going to Taxes>Annual and then clicking Edit Filing on the right-hand side of the page.
What if I no longer need 1099-NEC filing with Heard?
If you no longer need Heard to file your 1099-NECs, you can opt out of this service with the following steps:
- Go to Taxes>Annual
- On the right hand side, under “Options”, click Opt out of 1099-NEC filing
- Review the pop up box, click the checkbox for “I understand that by opting out, Heard will not file a Form 1099-NECs form on my behalf for 2024”, and click Confirm.
What if I missed the deadline?
The IRS deadline to file 1099-NECs is January 31. The IRS still accepts 1099s after this deadline; we highly encourage you to file your 1099s, we highly encourage you to file. Please see, How to file 1099-NEC outside of Heard.
If you do not file in time, an information return penalty may apply; see How to avoid penalties related to 1099-NEC. The sooner you file, the less you’ll pay in late-filing penalty fees.