Who needs a 1099?

In general, 1099s are issued for services, not products. If you paid someone $600 or more for services in 2025 and they’re not on payroll, a 1099 is usually required. These forms are due January 31. 

A 1099 is needed based on what the payment was for and how it was paid. Payments made by credit card or third-party processors like Stripe are typically reported separately and don’t require a 1099 from you. Direct payments like checks, wire transfers, or Zelle often do. 

Most 1099s go to individuals or single-member businesses, but the right treatment depends on the vendor, the work performed, and how payments were handled during the year. 

This is one of those things that works best when your bookkeeping is finished and correct.