Under the One Big Beautiful Bill Act, the Form 1099-NEC and 1099-MISC reporting threshold rises from $600 to $2,000 for payments made in 2026, with annual inflation adjustments beginning in 2027. Separately, the 1099-K threshold reverts to $20,000 and 200 transactions. All income remains taxable regardless of whether a form is issued.
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1099-NEC and 1099-MISC reporting threshold jumps from $600 to $2,000 for 2026
Why this matters for founders
Founders paying contractors will issue fewer 1099s in 2026 (only recipients paid $2,000+), but must keep tracking every payment; update bookkeeping and AP thresholds now to avoid over- or under-reporting.
Source: OnPay
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