What Is an IRS 1099 Tax Form?

If you earned income outside of a regular paycheck, there's a good chance you'll receive one or more Form 1099s. A 1099 is an information return that reports certain types of income to both you and the IRS. Unlike a Form W-2, which reports employee wages, Form 1099 is used to report many other kinds of payments, including freelance income, interest, retirement distributions, government benefits, and more. 

Because the IRS receives a copy of these forms, it's important to include the income shown on your tax return when required. Receiving a 1099 doesn't always mean you'll owe tax, but it does mean the IRS has been notified that a payment was made to you.

Let's look at some of the most common types of 1099 forms you may receive when filing your 2026 tax return in 2027.

If you collected unemployment benefits during the year, you'll generally receive a Form 1099-G showing the amount paid to you. Unemployment compensation is usually taxable for federal income tax purposes and must be reported on your return. 

If federal income tax was withheld from your benefits, that amount will also appear on the form and may help reduce your tax bill when you file.

If a bank, credit union, brokerage firm, or other financial institution pays you interest, you may receive Form 1099-INT.

In many cases, a payer must issue this form when it pays at least $10 in interest during the year. Common sources of interest income include:

Interest income is generally taxable and must be reported on your tax return, even if you don't receive a form because the amount is below the reporting threshold.

If your total taxable interest income exceeds certain reporting thresholds, additional schedules may be required. Tax software typically walks you through this process automatically.

Keep your 1099-INT forms with your tax records and verify that the amounts match your financial statements.

Form 1099-NEC is now the primary form used to report payments made to independent contractors, freelancers, gig workers, and other self-employed individuals.

Generally, a business must issue Form 1099-NEC if it paid you $600 or more during the year for services performed as a nonemployee.

Income reported on Form 1099-NEC may include:

The IRS receives a copy of every 1099-NEC submitted by businesses. When you file your tax return, your reported income should generally match the information reported to the IRS.

If you're self-employed, you'll typically report this income on Schedule C and may also owe self-employment tax in addition to income tax.

Receiving a 1099-NEC is completely normal for freelancers and independent contractors. The key is maintaining good records throughout the year and reporting your income accurately.

While Form 1099-NEC is now used for most freelance and contractor payments, Form 1099-MISC still exists and is used to report certain other types of income. 

Examples include:

Form 1099-C reports debt that has been canceled, forgiven, or discharged by a lender.

For example, you may receive a 1099-C if:

Every 1099 you receive should be treated as an important tax document. Since the IRS typically receives a copy, reporting the information correctly can help you avoid notices, delays, or additional questions later.

Before filing: