Tax & Accounting Blog

No More Logos or Advertising on Form 1099 Statements

Tax Information Reporting, Trust Tax May 31, 2011

In 2008, the IRS adopted a rule prohibiting company logos, slogans and advertising from appearing on information returns (such as Forms 1099 and 1042-S) and the recipient statements of these forms that are sent to taxpayers.  This prohibition was slated to go into effect for the statements reporting 2010 payments but the IRS postponed it to apply to amounts paid in the 2011 calendar year.  Now that we are in that time period, be aware of this rule as you are looking ahead to 2011 information reporting.
For amounts paid this year, no logos, slogans and advertising will be permitted on any of the Forms 1097, 1098, 1099, 5498, W-2G or 1042-S, or payee statements of those forms.
In addition, remember that no additional enclosures (such as advertising, promotional material, an announcement of new services or a quarterly or annual report) are permitted to be included with 1099 statements.