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brendam24
December 2, 2024
Question

1099 Misc

  • December 2, 2024
  • 1 reply
  • 9 views

So we pay our landlord $2000 rent for our office space, plus we also share the dumpster fees, which are usually about $45 a month. I will send him the check for $2045 each month. When I issue him a 1099-MISC will I only do it for the total rent paid for the year 24k or will it be the 24k rent plus the dumpster fees? 

1 reply

J
JorgetteGQuickBooks Team
QuickBooks Team
December 2, 2024

Let us explore how to effectively organize your rental payments and ensure all expenses are accurately reported for tax purposes, Brendam24.

 

When issuing a 1099-MISC in QuickBooks Online, you must include both the rent and the dumpster fees. According to IRS guidelines, Box 1 of the 1099-MISC form is designated for reporting all real estate rental transactions.

 

In your case, you'll need to report the total amount paid to your landlord for the year, which is $2,045 monthly.

 

Here's the calculation:

 

  • Monthly Payment: $2,045
  • Total Annual Payment: $2,045 x 12 months = $24,540

 

Thus, you should report $24,540 on the 1099-MISC form for your landlord, as this total includes both the rent and shared dumpster fees.

 

Additionally, you can refer to this comprehensive guide on preparing and filing your Federal and state 1099s using QuickBooks Online: Create and file 1099s with QuickBooks Online.

 

Furthermore, you might also want to review this article on generating 1099 reports in QuickBooks, which details who needs 1099s, payment totals, and more:  Create 1099 reports in QuickBooks.

 

I wish you smooth sailing with your forms in QuickBooks Online, Brendam24. I am confident this information will help you navigate your 1099-MISC documents efficiently. If you need more help, I'm always here to help.

B
brendam24Author
December 4, 2024

I wanted to clarify something quickly, as I am not sure this would change what is reflected in the 1099. So the dumpster fee we pay each month is a reimbursement to the landlord. Should it still be included in his 1099 as you state above?

Z
ZackE_Moderator
Moderator
December 4, 2024

Thanks for following up with the Community, brendam24. I appreciate your detailed information.

 

To properly identify what should and shouldn't be showing on 1099 forms, I'd recommend working with an accounting professional. If you're in need of one, there's an awesome tool on our website called Find a ProAdvisor. All ProAdvisors listed there are QuickBooks-certified and able to provide helpful insights for driving your business's success.

 

Here's how it works:
 

  1. Go to our Find a ProAdvisor page.
  2. Use the City or ZIP search field to specify a location.
  3. Select Find a ProAdvisor.
  4. Browse through your results and find one that works best for the business. You can click on each ProAdvisor's profile to learn more information about them.

 

Once you've found an accountant, they can be contacted through their Send a message form.

 

You can learn more about working with 1099s in our Create & file 1099s article.

 

Please don't hesitate to send a reply if there's any additional questions. Have a lovely Wednesday!

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