1099 forms are U.S. tax documents used to report information about certain types of income or expenses to the International Revenue Service (IRS). Depending on the particular type of 1099 form, they may track payments to vendors, payments from customers, or other payments made or received during the calendar year.
Businesses must issue 1099-NEC or 1099-MISC forms to vendors and the IRS by 31 January each year. If you are using virtual cards for business expenses, your company may need to issue these forms for tax reporting.
Visa does not issue 1099-NEC or 1099-MISC forms for virtual card transactions.
Responsibility for issuing 1099-NEC or 1099-MISC forms falls on the business making the purchase (Payhawk customers).
1099-K forms
1099-K is used to report received payments for goods or services made with credit or debit cards, stored value cards (for example, gift cards), payment apps (for example, Stripe), or online marketplaces.
The payment card companies or the third-party settlement organizations process the payments and are responsible for issuing and filing 1099-K, as well as sending copies to you and the IRS.
Payhawk's role
Payhawk is a financial management platform, not a payment processor or settlement company, so it does not issue or send 1099-K forms. Payhawk does not issue 1099-NEC or 1099-MISC on behalf of Payhawk customers either.
Payhawk does not provide tax advice. If you have any questions about your 1099 forms or other tax documents, you need to consult your tax advisor.
If you have any additional questions, contact Payhawk's Support team.