African founders with a US LLC or C-Corp often pay US contractors, then discover in January that the IRS expects 1099 forms filed on time. Missing them can lead to penalties. An e-filing service makes it a short task.
Short answer: Tax1099 is an IRS-authorized e-filing service for 1099, W-2 and other information returns. It is relevant if your US entity pays contractors or vendors who require 1099 reporting.
What is Tax1099?
Tax1099 lets you import payee data, collect W-9 forms, e-file with the IRS and states, and send copies to recipients. See Tax1099.
Problems it solves for African founders
- Missed 1099 deadlines: e-file on time.
- Collecting W-9 forms: online collection.
- State filing requirements: combined federal and state filing.
- Paper forms: electronic delivery to recipients.
Pricing and plans
The Essential tier is free to join and pay-as-you-go, with per-form costs from about $2.99 for 1 to 20 forms down to about $0.68 for 501 to 1,000 forms, lower at higher volumes. Check current pricing.
How to get started
- List US contractors your entity paid during the year.
- Collect W-9s early.
- Import payee data into Tax1099.
- E-file before the deadline.
- Send copies to recipients.
Who it is for, and who it is not for
It fits founders with US entities that pay US contractors. Ask a US tax adviser which forms apply to your situation, especially for payments to non-US persons.
FAQ
Do I need Tax1099 if I have no US company?
Usually not. It is for entities with US filing obligations.
Is there a subscription?
The Essential tier is pay-as-you-go per form.
What about payments to non-US contractors?
Different forms may apply. Ask a US tax adviser.
Disclosure: Africapreneurs may earn a commission if you sign up or buy through our links, at no extra cost to you. It does not affect which tools we cover or what we write about them.
