1099's - give me the low down on issuing them.

A

Angelshare1

Well-known member
Okay, sometimes people do things under the table. Just curious what actors do. I've been doing lowbudget films for a while and I'm getting to that point in my career where I might pay folks money. Do actors generally give you dirty looks if you hand them a 1099 along with their payment? I'm talking payments more than 400. (I believe that's the threshold.) Is being paid cash a big selling point for roles?

Sorry for all the folks who give me the legal mumbo jumbo. I've never cheated on my taxes but I'm just curious what the industry expectation is. Kind of like when a waitress likes getting tips in cash.
 
The threshold, as far as I know, is anything over $599 to an individual over the course of a year.

1099's are not handed to people along with their pay - they must be sent out by January 31st of the following year.

What you would would need to get from your actors is their social security number and mailing address. This is why companies ask clients to submit an IRS form W-9. You can download that from the IRS site and simply give it to your actors when they are hired in order to get their info.

Come January, you would need to get 1099 forms from the IRS, fill them out for each actor with the amount that they were paid over the year (assuming it is over $599), and you send one copy of the actor and one to the IRS.

As far as how actors will react - I have no idea.
But it's not really up to you. If you're trying to run a business, and these expenses are part of your business you have to file the 1099s for any contractor who you paid over $599 in a given year.

Of course, if you don't pay them over $599.... then there isn't any issue.
 
In this economy, it's rare that anybody gives you a dirty look when you hand them money.

Be sure to get a W9 BEFORE you hand them a check.
 
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