Send 1099-NEC instead of 1099-MISC
Beginning with the 2020 tax year, the IRS requires businesses to report nonemployee compensation on the new Form 1099-NEC instead of on Form 1099-MISC. Businesses will use this form if they made payments totaling $600 or more to certain nonemployees, such as an independent contractor.
If you are self-employed:
You can expect to receive this new form from a business that paid you $600 or more for nonemployee compensation in tax year 2020 or later.
You should receive these forms by January 31 each year and use them to prepare your tax return.
The IRS explains that, in general, you must report payments you make if they meet the following four conditions:
The payment is made to someone who is not your employee
The payment is made for services in the course of your trade or business
The payment is made to an individual, partnership, estate, or in some cases a corporation
The payment total is at least $600 for the year