The difference between a K1 and a 1099 is:
A K1 is used for thispartnership, reporting of tax items to be declared by the owners.
IN1099is typically a tax information document for only one owner, one person. An example would be: if someone had a bank account and there was enough money in that bank account, which earned the bank interest. The bank would then issue a 1099 each year to report to the Internal Revenue Service (IRS) and let the taxpayer know how much interest income was earned during the year.
So 1099s are generally only used for sole proprietorship tax filings, while a K1 form is used if you have at least two business or mutual fund owners who need to file a partnership return.
Americans Overseas can help you with your K1 and 1099
Americans Overseas offers a large, independent network of American tax accountants and financial planners specializing in Americans living abroad.Based on your personal situation, we will inform you free of charge and without obligation from the right expert from our Americans Overseas network.
Please contact us for more information
