Should a 1099-NEC be voided if the payment was refunded in a subsequent year?

February 28, 2022
February 28, 2022


Q.¬†We paid a vendor in 2021 for an event that was subsequently canceled. The vendor cashed the check in 2021 and we issued a 1099-NEC for that payment. Then in 2022, and before we filed 1099-NEC, the vendor wrote us a refund check. We deposited that refund check in 2022 and the refund check was dated in 2022. Are we required to correct/void the 1099-NEC? A. (Answered by a 3rd party, independent advisory services firm offering experienced and practical help for tax regulatory compliance for…

  Become A Member

Join IOFM today as a Professional, Business, or Enterprise Member — or upgrade your Starter Membership — to get access to this content and thousands of other Articles, Webinars, Expert Answers, Resource Downloads, and more!

Join Today

Naturally, this forum doesn’t allow the kind of full information exchange necessary for the Institute of Finance & Management (IOFM) to provide legal advice and the Expert is not a tax attorney in any event. Please understand that the nature of our responses are limited by these constraints as well as the site’s Terms of Use. If you have further questions or suggestions about how we can improve IOFM, please let us know. 
Ask The Expert is a member resource of IOFM and all advice provided is subject to site’s Terms of Use.

Subscribe to our Monthly Insider

You may unsubscribe from our mailing list at any time. Diversified Communications | 121 Free Street, Portland, ME 04101 | +1 207-842-5500