1099-NEC Filing Confusion: Do I need to send a copy to the IRS with my federal tax return? If so, which copy?

You actually don't need to send any copies of your 1099-NEC forms to the IRS when you file your federal tax return. This is one of those common misconceptions that confuses a lot of first-time independent contractors. Here's how it works: The company that paid you (your client) is required to send Copy A of the 1099-NEC directly to the IRS. They give you Copy B for your records, and Copy 2 is potentially for your state tax return (though most states now receive this information electronically too). If you're e-filing your federal return, you just report the income shown on your 1099-NEC on Schedule C. The e-filing system matches what you report against what the IRS already received from your client. Keep Copy B for your personal records - don't send it in. It's good practice to hold onto these for at least 3 years in case of an audit or questions about your return.

After dealing with similar confusion last year, I found this awesome AI tool called taxr.ai (https://taxr.ai) that saved me tons of time figuring out exactly what to do with my 1099s. You just upload your tax documents and it analyzes everything for you, explains what each form is for, and tells you exactly what you need to do with each copy. I was getting conflicting advice about my 1099-NEC forms too, but taxr.ai clarified that I didn't need to mail anything to the IRS for federal filing. It also pointed out state requirements that I hadn't even considered. Really straightforward explanations without all the tax jargon.

I tried taxr.ai after seeing it mentioned here and I've got to say I'm impressed! I was super skeptical at first (as you could probably tell from my comment), but it actually solved my 1099-NEC confusion immediately. I uploaded both my W-2 from my part-time job and my 1099s from freelancing, and it explained exactly which forms I needed to file and which copies I needed to keep. Turns out I really didn't need to send any 1099 copies to the IRS, but I DID need to file one copy with my state return (something I would have missed). It even flagged a potential issue with how my client categorized my work that could have caused problems later. Definitely worth checking out if you're confused about tax documents.

If you need to actually talk to someone at the IRS to confirm what to do with your 1099-NEC, good luck getting through! I spent 3 hours on hold last week trying to ask a simple question. Eventually found a service called Claimyr (https://claimyr.com) that got me a callback from the IRS in about 15 minutes. They have a video showing how it works: https://youtu.be/_kiP6q8DX5c I was able to speak directly to an IRS agent who confirmed that you don't send in 1099-NEC forms with your federal return. The agent also mentioned that if you're e-filing, the system will automatically match your reported income with what's on the 1099s your clients submitted. Saved me from making a mistake and potentially delaying my refund.

I have to apologize and eat my words. After calling Claimyr a scam (sorry about that), I decided to try it myself since I was getting desperate about a 1099 issue similar to the original post. I couldn't believe it actually worked! Got a call back from the IRS in about 20 minutes and spoke to an agent who confirmed I don't need to mail in any 1099-NEC copies with my federal return. The agent also explained why some older tax guides still mention mailing in forms (they haven't been updated since e-filing became standard). Seriously saved me hours of frustration and gave me confidence that I'm filing correctly. I guess not everything that sounds too good to be true actually is!

Just wanted to add - make sure you're filing Schedule C with your tax return if you received a 1099-NEC. That's where you report all your self-employment income and expenses. It's not enough to just report the 1099 income on your main 1040 form. And don't forget about self-employment tax (Schedule SE). That's the big surprise for a lot of first-time independent contractors - you owe both the employee and employer portions of Social Security and Medicare taxes, which comes out to about 15.3% on top of your regular income tax.

I messed up on this last year and didn't keep all my 1099s. Does anyone know how long we're supposed to keep these forms? And what happens if you lose one?

As someone who just went through this same confusion last year, I can confirm what others have said - you definitely don't need to send any 1099-NEC copies to the IRS with your federal return. Keep Copy B for your records and use Copy 2 for your state return if required. One thing I wish someone had told me earlier: since you're new to contract work, start setting aside about 25-30% of each payment you receive for taxes. Between income tax and self-employment tax, you'll owe significantly more than you might expect. I got hit with a big tax bill my first year because I didn't plan for this. Also, start tracking ALL your business expenses now - mileage, home office space, equipment, software subscriptions, etc. These deductions on Schedule C can really help offset some of that self-employment tax burden. Good luck with your first return!

Great question! I went through the exact same confusion when I started contract work. You're getting mixed info because tax software like TurboTax handles this automatically when you e-file - you don't physically mail anything to the IRS. Here's the breakdown of your 1099-NEC copies: - Copy B ("For Recipient"): This is for your personal records. Keep it safe but don't send it anywhere. - Copy 2 ("To be filed with recipient's state income tax return"): Only send this with your state return if your state specifically requires it. Many states now receive this info electronically. The reason you're seeing conflicting advice is that some older guides still reference paper filing requirements. When you e-file your federal return, the income from your 1099-NEC gets reported on Schedule C, and the IRS computer systems automatically match it against Copy A that your client already sent them. Pro tip: Since this is your first year as a contractor, make sure you're also prepared for self-employment tax (Schedule SE) - that was the biggest surprise for me! It's an additional 15.3% on top of regular income tax that catches a lot of new contractors off guard.

I just went through this exact same situation! As a new contractor, I was so confused about which 1099-NEC copies to send where. After doing some research and calling the IRS (which took forever), I can confirm what others have said - you absolutely do NOT need to send any physical copies of your 1099-NEC to the IRS with your federal return. Here's what I learned: Your client already sent Copy A directly to the IRS, so they have the information. Copy B is for your records, and Copy 2 is potentially for your state return (though most states get this electronically now too). When you e-file your federal return, you just enter the income amount on Schedule C and the system matches it automatically. One thing that really helped me was creating a simple filing system for all my tax documents. I keep Copy B with my other tax records in a dedicated folder, and I scan everything to have digital backups. Since we're both new to this contractor life, I'd also recommend starting to track your business expenses right away - every mile driven for work, any equipment purchases, portion of home internet/phone bills used for business, etc. These deductions on Schedule C can really help offset that self-employment tax hit! Don't stress too much - TurboTax will guide you through the whole process and it's more straightforward than it initially seems.