A 1099–MISC is typically issued for income that falls outside the other 1099 forms. For example, some types of non-employment income are reported on a 1099–MISC, such as money received from prizes or awards.

A 1099-B is sent to a taxpayer listing the various transactions from a broker, such as the sale of stocks, commodities, and other securities. Also, some types of bartering transactions executed through a barter exchange would be listed and reported on a 1099–B form.

A 1099-R is issued if a taxpayer received a distribution or payout from a pension, retirement plan, or individual retirement account (IRA). Also, certain annuities and life insurance contracts may issue a 1099-R. However, not all retirement distributions are taxable, and a tax professional should be consulted if you’re unsure whether you should pay taxes on a distribution.

A 1099-G is sent to those who received money from the federal, state, and local government. For example, taxpayers who received a local tax refund or unemployment benefits would likely receive a 1099-G.

A 1099-DIV is typically sent to a taxpayer if dividend income was earned throughout the tax year. Dividends are usually in the form of cash payments that are paid to investors by corporations as a reward for owning their stock or equity shares.

A 1099-INT is sent to taxpayers if they earned more than $10 worth of interest in the tax year. Typically, banks, brokerage firms, and other investment firms send out a 1099–INT.

Form 1099 is used to report certain types of non-employment income to the IRS, such as dividends from a stock or pay you received as an independent contractor.

Businesses must issue 1099s to any payee (other than a corporation) who receives at least $600 during the year. However, there are exceptions to the $600 threshold rule. For example, a 1099 is typically issued by a financial services provider if a customer earned $10 or more in interest income.

An Extension of time to file is not the same as an extension to pay. There’s no cost to file an extension but if you expect to owe at tax time, you should make a payment with your extension request in order to avoid interest and penalty.

Passive income will be subject to a 3.8% net investment income tax for taxpayers above certain income thresholds.

The threshold is $200,000 for single taxpayers and $250,000 for married filing jointly taxpayers.

Capital gains tax occurs when you sell capital assets. Holding capital assets for longer than one year will be subject to the preferential long-term capital gains rate of 20% at the top bracket when sold. Selling capital assets before a holding period of 1 year will subject the sale to ordinary tax rate up to 37%.