Which Form Should I Use to Report Income - A W-2 or a 1099-MISC?

Answer: To report income for employees of your company, use a Form W-2. This form reports total income, Social Security and Medicare Income, and it shows how much has been withheld from employee pay for federal, state and local taxes. W-2s are due to the employee no later than January 31.

After you have completed and sent the W-2s, you must then collect all of the W-2s for your employees and send those, along with a compilation called a W-3, to the IRS by February 28. To report income for independent contractors, use a Form 1099-MISC. Independent contractors are those individuals who do work for your company but who are not employees.

You don't report withholding or Social ... more.

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