1099 Form
Definition
A family of IRS forms used to report various types of income other than wages. Common types include 1099-NEC (freelance/contract income), 1099-INT (interest), 1099-DIV (dividends), 1099-B (brokerage transactions), 1099-R (retirement distributions), and 1099-MISC (miscellaneous income). You'll receive a 1099 from any payer who paid you $600 or more during the year.
Example
A freelance writer who earned $15,000 from a client would receive a 1099-NEC reporting that income. They must report it on Schedule C of their tax return.