Issuing 1099 Forms Required For Physical Therapy, Massage Therapy Businesses

Issuing 1099 Forms Required For Physical Therapy, Massage Therapy Businesses

Issuing 1099 Forms Required For Physical Therapy, Massage Therapy Businesses is actually pretty easy!

Fortunately, it doesn’t cost you anything but time.

Massage therapist, wellness provider or other holistic small business owner: you are required to issue 1099 forms if you paid anyone over $600 in the past year.

We can probably all agree… (unless you’re an accountant) taxes are no fun, however, they are part of a life of a business owner…

Did You Pay More Than $600 Last Year To A Business?
As a business owner yourself, if you’ve paid over $600 to an independent contractor, landlord, or other business in the last year, issuing 1099 forms is REQUIRED by the U.S. government!


Did You Get Paid More Than $600 Last Year By An Individual or A Business?
Don’t be surprised if a client or customer asks you for your tax ID or social security number so they can issue you a 1099.
(If you’re incorporated, they don’t need to issue you one)

If they’ve paid you over $600, it is very common to be sent a 1099 form by a client, renter, insurance company (if you were paid for services through billing insurance)

The deadline is always around the end of January or early February, but changes from year to year.
Click this link to get to the IRS website with instructions

Look up the difference between the types of 1099 forms. In most cases you’ll probably use a 1099-misc to report non-employee wages.

You can order the forms from this page for all US businesses.
I suggest you order three things:

  1. The # needed of 1099-Misc forms (Read how to know how many to order — some years it is ordered by sheet (with 1-3 forms per sheet) and some years it is ordered by number of forms needed. SHEESH!
  2. Instruction on how to complete and file the 1099-MISC
  3. Form 1096Annual Summary and Transmittal of U.S. Information Returns – this is sent in to the IRS along with all the completed forms as a summary of total amount paid out.


If you’re doing this too close to the deadline to receive the forms via mail in time — you can see if the forms are available at your local US government office (for free) or you can always buy them at an office supply store.
(Be sure to plan ahead for next year and order by December of this year.)

Get your forms in the mail to the recipient by the deadline so the US postmark confirms when it was sent.

Send Form W-2 to employees and Form 1099-misc statements for businesses that are not incorporated. (solo practitioners operating a business count, too)

(Remember, Independent contractors are in business for themselves, and if you have paid any biz more than $600 in the past year, you should issue a 1099-misc. form).

If you are a Independent Contractor physical therapist, massage therapist, yoga instructor, hair stylist, fitness trainer, etc., working for another business (and are not incorporated) the company contracting you for services should issue you a 1099 form. If you have not received it by the legally-required deadline, contact them to be sure it was processed.

If a business or individual asks for your social security number, don’t give it out. Instead, I strongly suggest you apply and use your Tax ID number or Employee Identifier Number.
You can apply here for your EIN online through the gov website.

ALSO: Mistakes happen.

The business issuing you a 1099 will be supplying a copy of the form to the IRS, so you want to verify what they say they paid you against the income you believe you were paid. If you see there is a difference, be sure to request it to be corrected and ask for a new 1099 to be issued to you.

Thanks to our taxes funding the US government, it’s fast, easy and free to get the forms you need.

(Don’t buy your forms at office supply stores or that they sell on-line.)

The main 2 forms you’ll probably need are:

  1. Form 1099-MISC (Miscellaneous Income) (order one per business you paid, plus get a few extra in case you make a mistake)
  2. Form 1096 (Annual Summary and Transmittal of U.S. Information Returns) this is the form to summarize the payments and submit to IRS.

Instructions on how to complete the forms are online here:

The link to order the forms is here:
(Do it now, since it’ll take 7-14 days to receive by mail)


According to the US gov website:
“As a business owner, you need to issue 1099 forms if the sum of all payments made to the person or unincorporated business is more than $600 in one tax year (unless the recipient is an attorney or law form, see specific instructions for 1099-MISC for further details).”


Need help?  If you have questions about information reporting, you may call their hotline at 1-866-455-7438 (toll-free) or 304-263-8700.

Don’t ask me questions about the legal/accounting stuff since I’m not an attorney nor a tax adviser, just want you to know what we need to do as a small biz owner.

(Best to speak with your personal accountant to know what to do)

The good news is hopefully you’ve made a lot of money this past year to be able to provide income to those you paid!

Post below and let us know if you will be issuing any 1099 forms this year…
OR, post below to tell us if you are an IC and will be checking your reported income from the issuing sources!

About the Author Irene Diamond

Business mentor, Educator and Inspirer to Clinic Owners & Solo Practitioners. Love to hear from you ~ Please share your thoughts in the comments below!

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  • Elizabeth says:

    Great article. Thanks for the heads up. So, if I paid $900 for a weekend workshop where I received care from a chiropractor but also education and business coaching, you’re saying I need to send them a 1099?

  • Hi Filiberto,
    You should ask your tax accountant or financial adviser, but unless they are a corporation, you are supposed to issue a 1099 to anyone who you paid more than $600 in one year to.

    This is the part of our biz that most practitioners don’t know much about, but it doesn’t negate the fact that we are supposed to do the right thing.

    Good luck!

  • Cat says:

    Wow, I knew 1099s were needed for contractors, but I had no idea about landlords. 2014 was my first full year in business for myself, so I’m doing my first “complicated” tax return.

    • Hi Cat,

      Yes, landlords are included, unless they are an incorporation.

      You’ll actually need to ask them for their social security number or tax id number to include on the form.

      Also, anyone else you might have paid, like gardeners, baby sitters, workers around your office, cleaning people, painters, etc.

      Congrats on your first full year!

      • Filiberto Cortez says:

        So if I am renting a room from another therapist, I need to give her a 1099 for the amount of rent paid to her for 2014? This is new to me, I have been renting for 3 yrs and have never done this, so this is considered income for her and I need to issue 1099, right? Thanks

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