As part of our service, Assignr can issue a IRS 1099-NEC form for for any official who has been paid $600 or more during the calendar year.
Our 1099-NEC Process
Assignr issues a 1099-NEC form to anyone who was paid $600 or more during the calendar year.
Officials can access their 1099 electronically from the Assignr website.
The 1099-NEC will be issued on behalf of your organization, using the legal name and EIN for your organization.
In late January, we send an email to each official who was issued a 1099-NEC form, along with instructions on how to access it.
1099-NEC information will also be sent electronically to the IRS on your behalf.
Payment Administrator Responsibilities
Since Assignr is issuing a 1099-NEC form on behalf of your organization, there's a couple things we need from you:
If you have payments that are not in Assignr that need to be included in the officials' 1099-NEC forms, you will need to enter these payments manually.
On the 1099-NEC page, you should look over the numbers and make sure that everything looks accurate. All payments we have in the system are automatically included in the totals, so it shouldn't take much to review it.
Ensure your contact details correct, and approve the 1099s for sending.
This step must be completed by no later than January 10.
To navigate to this page:
Financials → Name of your Organization
Click on the It's Tax Time... Get Started banner
The 1099 page will show you the officials who need a 1099, as well as the officials who did not make enough to need a 1099-NEC form issued.
You can review the information on this page for accuracy, which can be checked by running reports from our system.
If all looks good, check the I Authorize Assignr... checkbox and click the Approve button.
Assignr's Responsibilities
Our job begins once you have approved the 1099-NEC amounts.
Once approved, we will manually review the numbers and make sure it all looks OK from our end.
After review, Assignr will transmit your 1099-NEC information to the IRS.
In late January, we will send an email to each official who was issued a 1099-NEC form, along with instructions on how to access it through the Assignr site.
For officials who no longer have access to Assignr, we will send them a paper copy of their 1099-NEC form via the US Postal Service.
IRS Form 1096 Not Needed
When you send a paper 1099-NEC form to the IRS, they generally require an IRS Form 1096 to be provided as a cover sheet. Since our process sends the information directly to the IRS, you will not need to file a Form 1096 with the IRS.
State Tax Requirements
You (the payor) are ultimately responsible for ensuring you are compliant with both federal and state tax requirements. Our system will electronically file your 1099-NEC information with the IRS. For states that accept information electronically from the IRS, this information is automatically transmitted to the respective state taxing authorities.
Each state has different tax filing requirements. Some have no requirements at all, and others have requirements that we take care of when we file with the IRS.
The information below was last updated in December 2024.
Our service will automatically transmit 1099-NEC information to the following states: Alabama, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, District of Columbia, Georgia, Hawaii, Idaho, Indiana, Kansas, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, New Jersey, New Mexico, North Carolina, North Dakota, Ohio, Oklahoma, Pennsylvania, Rhode Island, South Carolina, and Wisconsin.
If your state is not listed above, please consult with your state's revenue or taxation website. In most cases, nothing additional is required. However, each state is different and it is your responsibility to comply with deadlines and filing requirements imposed by your state taxing authority.
The information on this page does not constitute tax advice. You should consult with your CPA or tax attorney for specific advice on your state tax filing requirements.
Frequently Asked Questions about 1099s
1. We transitioned to Assignr mid-year, so we have officials that were paid from this system, plus another system that also issues 1099s. How should we handle this? Can we issue 1099s from both systems?
We offer you the option to create 1099 adjustments in Assignr where needed, so that an individual can just receive one 1099 from you from our system, but still have that 1099 reflect the full amount they were paid within the calendar year.
You can learn more how to do this here: How to Add 1099 Adjustments.
To share more, you technically can issue an individual two different 1099s from the same business. The Account Number field on the 1099 form tells the IRS that our 1099 for your business is different from any other 1099 issued by your business (e.g. from a different system).
Here are two scenarios to keep in mind:
If you have an individual that made under $600 through the other platform, and made under $600 through our platform, but in total they made $600 or more combined, neither platform will issue a 1099.
Similarly, if an individual made $600 or more on our platform, and under $600 on the other platform, then not all revenue will be reported to the IRS (since the other platform won't report the revenue since it doesn't meet their threshold).
So you may want to look for people who meet the criteria for either scenario listed above. For those that do, you can add amounts paid external to Assignr into our system and we will include that revenue in their 1099.
Here's the article again that walks you through how to do this: How to Add 1099 Adjustments.
2. We pay officials through the platform, but we do NOT want Assignr to issue 1099s on our behalf at year-end. How can we prevent this?
At the beginning of each calendar year, we send out an email to paying administrators, instructing them to approve their organization's 1099s, so that we can e-file them on your behalf.
If you have direct deposit enabled on your site, but do NOT want us e-filing your 1099s for you, simply do not approve them.
3. What happens if we have officials who should receive 1099s, but whose accounts are deleted or disabled at the time of 1099s being sent out?
Officials can be deleted from Assignr, or have a deactivated account, and their financial information will still remain in the financial module.
Officials who can no longer login will automatically get a printed 1099 mailed to them. Additionally, we send emails to these officials with links that they can use to retrieve their 1099 (these links do not require a login).
4. How long will we be able to access past 1099s?
We retain these records for a minimum of 3 years or until an organization is no longer a customer, whichever comes first.
5. Since we use Assignr to pay our officials, should we send you a 1099?
No. You are paying officials through a payments platform.
The 1099s that are sent to officials (which is part of what's included in our direct deposit service) are all you need to provide. The 1099-NEC is sent to officials, since they are ultimately the independent contractors that are being paid.
Assignr and Dwolla (our payments vendor) are not independent contractors for your organization, so nothing needs to be sent to either of us.