Frequently Asked Questions

The deadline for filing taxes with us is April 15th of each year, unless an extension is granted.

Please bring your W-2 forms, 1099 forms, receipt totals and any other relevant tax documents such as ID, Social Security Cards and Birth Certificates for dependents. If you are unsure of what to bring, please contact us and we will be happy to help you.

LRS Tax Group  works with businesses of all sizes and types, however our area of expertise are sole proprietors, and LLCs, including simple structure LLC partnerships. 

Although these forms are called information returns, they serve different functions.

Employers use Form W-2, Wage and Tax Statement to:

• Report wages, tips, or other compensation paid to an employee.
• Report the employee's income, Social Security, and Medicare taxes withheld and other information.

Employers furnish the Form W-2 to the employee and the Social Security Administration (SSA). The SSA shares the information with the Internal Revenue Service.

Payers use Form 1099-MISC, Miscellaneous Information and/or Form 1099-NEC, Nonemployee Compensation to:

• Report any amount of federal income tax withheld under the backup withholding rules (Form 1099-MISC or Form 1099-NEC).
• Report payments of $10 or more made in the course of a business in royalties or broker payments in lieu of dividends or tax-exempt interest (Form 1099-MISC).
• Report payments of $600 or more made in the course of a business in rents, prizes and awards, other income and for other specified purposes, including gross proceeds paid to an attorney (Form 1099-MISC).
• Report payments of at least $600 in the course of a business to a person who's not an employee for services, including payments to an attorney (Form 1099-NEC).
• Report sales totaling $5,000 or more of consumer products to a person on a buy-sell, a deposit-commission, or other commission basis for resale (Form 1099-MISC or Form 1099-NEC).

Payers file Forms 1099-MISC and 1099-NEC with the IRS and provide them to the person or business that received the payment.

• Tax Topic 752 - Filing Forms W-2 and W-3
• General Instructions for Forms W-2 and W-3
• General Instructions for Certain Information Returns
• Instructions for Forms 1099-MISC and 1099-NEC, Miscellaneous Income and Nonemployee Compensation
• E-file Forms 1099 with IRIS
• Filing Information Returns Electronically (FIRE)

Form 1099-NEC & Independent Contractors

Small Business, Self-Employed, Other Business

An Individual Taxpayer Identification Number (ITIN) is a tax processing number issued by the Internal Revenue Service. The IRS issues ITINs to individuals who are required to have a U.S. taxpayer identification number but who do not have, and are not eligible to obtain, a Social Security number (SSN) from the Social Security Administration (SSA).

IRS issues ITINs to help individuals comply with the U.S. tax laws, and to provide a means to efficiently process and account for tax returns and payments for those not eligible for Social Security numbers. They are issued regardless of immigration status, because both resident and nonresident aliens may have a U.S. filing or reporting requirement under the Internal Revenue Code. ITINs do not serve any purpose other than federal tax reporting.

An ITIN does not:

• Authorize work in the U.S.
• Provide eligibility for Social Security benefits
• Qualify a dependent for Earned Income Tax Credit Purposes