An incorrect Form 1099-NEC that overstates your income is a problem that can lead you to overpay your taxes.

One big cause of an incorrect 1099-NEC is in the definition of 1099 income. It often triggers a year-end reporting problem.

Once you have the incorrect 1099-NEC in hand, generally around February 1 of each year, you can have trouble getting the 1099-NEC corrected.

In this article, you will learn how to deal with an incorrect 1099-NEC in a manner that

reduces your chances of an IRS audit;

grants you, the recipient, your correct 1099 taxable income; and

allows the payor the opportunity to keep their deduction but correct the 1099.

Question

I have my 2024 tax return on extension ... Log in to view full article.