What are W-2 and 1099 forms?

A W-2 reports an employee's wages and the tax withheld from them. A 1099 reports other payments, such as contractor fees (1099-NEC), rent (1099-MISC) and card or payment-app sales (1099-K). For 2026 the W-2 and most 1099s are due to you by February 1, 2027, and you report the income whether or not a form arrives.

Last reviewed September 23, 2026 · Tax year 2026 · Federal

A W-2 reports pay you earned as an employee, usually with tax withheld. A 1099 reports most other payments, usually with nothing withheld. The payer sends one copy to you and one to the government, which uses it to check your return.

Form W-2

An employer gives each employee a W-2 showing the year's wages, the federal income tax withheld, and the Social Security and Medicare tax withheld. Copy A goes to the Social Security Administration. The Code sets January 31. January 31, 2027 is a Sunday, so 2026 Forms W-2 are due Monday, February 1, 2027, the date the 2026 W-2 instructions give. Florida has no personal income tax, so no Florida income tax is withheld from wages.

Form 1099-NEC

A business that pays someone other than an employee for services, such as a freelancer or independent contractor, reports the year's payments on Form 1099-NEC once they reach $2,000. The threshold was $600 until a 2025 law, Pub. L. 119-21, raised it for payments made after December 31, 2025. From 2027 it rises with inflation in steps of $100. The 2026 form is due to the contractor and the IRS by February 1, 2027.

Form 1099-MISC

Form 1099-MISC reports rent, prizes and awards, and medical and health care payments of $2,000 or more, and royalties of $10 or more. If a business tenant pays you rent directly, the tenant reports it; if it pays your property manager, the manager reports the rent passed on to you. Your copy is due by February 1, 2027. If it shows substitute payments in box 8 or gross proceeds paid to an attorney in box 10, it is due by February 16, 2027, because February 15 is Presidents' Day.

Form 1099-K

Card processors, payment apps and online marketplaces report the gross amount they settled for you on Form 1099-K, before fees, refunds or shipping. A card processor reports any amount. An app or marketplace has to report only when your payments for goods or services exceed $20,000 and number more than 200. A 2021 law had cut that threshold to $600; Pub. L. 119-21 restored $20,000 and 200 as if the cut had never been made. A platform may still send you one below the threshold, and gifts or repaid personal expenses from friends and family do not belong on it. Your copy is due by February 1, 2027.

Interest, dividends and investment sales

Banks and brokers send Form 1099-INT for interest, 1099-DIV for dividends, and 1099-B for sales of stock and other securities. The 1099-INT and 1099-DIV are due to you by February 1, 2027. The 1099-B, and a broker's combined statement that includes it, is due by February 16, 2027.

You report the income either way

Gross income is all income from whatever source derived. Income below a threshold, or from a payer who sent no form, goes on your return the same way. Nonemployee compensation generally carries self-employment tax on top of income tax, usually with nothing withheld. Whether it calls for estimated payments is covered in Who needs to pay estimated taxes?

If you pay people

Only payments made in the course of your trade or business are reported. Payments to a corporation, including an LLC taxed as one, are generally exempt, with exceptions such as attorneys' fees, and card or payment-app payments go on the processor's 1099-K instead of a 1099-NEC or 1099-MISC. How an LLC is taxed is covered in What is my tax classification and what does it mean?

Whether a worker is an employee, who gets a W-2, or a contractor, who gets a 1099-NEC, is generally decided by the working relationship under the common-law rules. If you file 10 or more information returns of all types, you must file them electronically. Form 1099-MISC goes to the IRS by March 1, 2027 on paper, since February 28 is a Sunday, or by March 31, 2027 electronically.

Payroll return dates are in Payroll, sales tax and Florida business deadlines.

Sources

This article is general educational information, not tax, legal, or accounting advice, and does not create a client relationship. Tax law changes and depends on your specific facts. Information is current as of September 23, 2026 for tax year 2026; verify before acting. Consult a qualified CPA, EA, or attorney about your situation.

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