1. IRS Company Penalties for Not Filing 1099s The Resourceful CEOTM: 1099 Video Series

2. Introduction Companies must file 1099s by deadlines.Penalties for nonfiling or late filings can be harsh. Harsher for deliberate nonfiling. Harsher for larger corporations than small businesses. However, due to size, penalties have high impact on small companies.Best way to avoid penalties? File correct Form1099s by due dates. http://www.Cash4Impact.com/1099-guide 3. http://www.Cash4Impact.com/1099-guide 4. Filing Dates Companies must mail out nearly all 1099s by January 31. Includes Form 1099-MISC. Lone exception: Form 1099-C. Mailing date for this form: February 15.Companies must file 1099s with the IRS: By February 28 if filing by paper. By March 31 if e-filing.http://www.Cash4Impact.com/1099-guide 5. Errors / Omissions That Lead to Penalties The IRS levies penalties for various 1099 infractions: Late filing Failure to include required information Providing incorrect information Neglecting to report a TIN Filing an incorrect TIN Paper forms not machine readablehttp://www.Cash4Impact.com/1099-guide 6. Penalty - Amounts IRS penalty assessment amount based on filing date of correct 1099.File within 30 days of due date: Penalty is $30 per incorrect / missing 1099. Maximum penalty for small businesses - $75,000 per year.File after 30 days but by August 1: Penalty is $60 per incorrect / missing 1099. Maximum penalty for small businesses - $200,000 per year.File after August 1 or never file: Penalty is $100 per incorrect / missing1099. Maximum penalty for small businesses - $500,000 per year.http://www.Cash4Impact.com/1099-guide 7. Classification and Minor Errors IRS small business classification: Business generated