Replies

1. 
   davidmeiland | Jan 28, 2006 12:57am | #1

   No 1099s for corporations. You're off the hook.

   When you sign up a new sub, always get info like their EIN and their business entity type. When you get someone who's a sole proprietor, or a business that's a partnership, put them on your 'gets a 1099 at the end of the year' list.

1. 
   BWH | Jan 28, 2006 05:53am | #2

   thanks David, it does make sense to get all of that information thoughout the year rather than trying to cram it in at the last minute. I'll definately be doing that from now on.Brian

1. 
   davidmeiland | Jan 28, 2006 10:05am | #3

   I keep a subcontractor database (just a chart, really) that includes all the relevant tax/business info plus info on their insurance and when their current policy will expire. That last part is the real clincher sometimes, because I will hold up payment if their policy has expired and I do not have a new cert. Subcontractor management... one of those drudgery items a GC gets paid to deal with.

1. 
   BWH | Jan 28, 2006 07:57pm | #4

   Great tips. Thanks David.Brian

2. 
   blue_eyed_devil | Jan 31, 2006 12:51am | #5

   Brian, I operated as a corporation for about 20 years. Almost all the quality builders that used my services sent me a form which required me to certify that I was a corporation. Perhaps this was the paperwork that they would need to supply if they ever encountered an audit.

   I'd suggest doing the same if you don't 1099 them.

   blue

    

1. 
   davidmeiland | Jan 31, 2006 03:36am | #6

   Good point. Here there's a state database that I can use to look up info on any contractor or sub's operation... entity type, insurer and coverage limits, bond, WC, etc.