Are we responsible for withholding when we issue a Form 1099-MISC?
October 25, 2002
Date: Tue, 10 Sep 2002
I have a question you may be able to help clarify. If we have a non-employee who is paid with a 1099, are we responsible for withholding, or would we just supply the taxable income information?
Date: Wed, 16 Oct 2002
You just supply the information report, unless the service provider is a non-resident of the United States or is subject to backup withholding. Some states also require withholding when a service provider is providing services within the state but is a resident of another state. See your tax advisor about how the rules work in your state.
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