Proper recording of your financial transactions is essential, particularly when they involve personal and business accounts. Addressing this will ensure your records are correct. I'll be providing the details you need, Zola.

Please note that payments made to 1099 vendors via credit card, debit card, or third-party system like PayPal are excluded from the 1099 MISC and 1099 NEC calculations.

Additionally, to ensure compliance with local regulations and get expert advice, it's advisable to consult with a tax agency. They can assist you with the specifics of tax laws and ensure that your handling of the 1099 form and any related adjustments to your tax filings are accurate and up to date.

Moreover, once found that it is required for a correction. Reach out to the client who issued the 1099 form. Explain that the payment was for the construction company and not for personal services provided by your consulting business. Request that they cancel the original 1099 form and, if necessary, reissue it correctly to the construction company as the recipient.

You'll find this resource helpful in ensuring your financial records are precise and up to date: Understand which payments are excluded from a 1099-NEC and 1099-MISC.

You might have more questions about the 1099 filing. Check out this article: Get answers to your 1099 questions.

 We're here to ensure that every transaction upholds the clarity and precision your business deserves. For further questions or guidance, remember that the QuickBooks community is just a message away.