Form 1099-NEC Reporting Threshold for 2026 increased from $600 to $2,000
By the UNY Finance Department | Email
The One Big Beautiful Bill Act (OBBBA) increased the Form 1099-NEC reporting threshold from $600 to $2,000 for the 2026 tax year. Starting in 2027, this threshold will adjust for inflation.
The Form 1099-NEC $2,000 threshold covers fees, commissions, prizes, awards for services, and other nonemployee compensation paid to individuals who are not your employees, including attorneys for their services.
Please note a payment may still be taxable to the recipient even if no 1099 is required. Filing thresholds and income taxability are two separate obligations.
For more information, please visit the IRS website.
Action Items for Employers
Review your payment tracking system and check if the payment was reached or is expected to reach the minimum threshold for issuing a Form 1099-NEC.
Request Form W-9 from new vendors and contractors before making payments. Waiting until filing season means chasing missing information under deadline pressure.
If you have any questions on this topic, please contact Bob Flask, Conference Treasurer, at 315-898-2008 or bobflask@unyumc.org; or Jim Rowley, Finance Manager, at 315-898-2010 or
