The IRS recently issued a reminder to businesses that they have until February 1, 2021 to provide Forms 1099-MISC and 1099-NEC to recipients.

Form 1099-NEC is a new form for tax year 2020 and is used for reporting nonemployee compensation of $600 or more to a payee. With the development of Form 1099-NEC, the Form 1099-MISC has been redesigned and has different box numbers for reporting certain income such as royalties, rents, prizes and awards, and other income.

For more information on both of these forms as well as possible extensions to the deadline filing refer to IRS Newswire Issue Number IR-2021-14.