Do 1099-MISC Forms Have to Be Filed With State of California?

The short answer to whether or not Internal Revenue Service 1099-Misc forms have to be filed with the state of California is "yes." These forms represent income received and must be reported when filing your California taxes, just as you would when reporting your federal taxes. IRS Form 1099-Misc reports miscellaneous income received during the tax year.

  1. Income

    • The state, just as the federal government, counts all income for multiple sources. The IRS indicates that income generated from one source at or over $600 requires the company who paid anyone that amount or more during the tax year to file a 1099 form with the federal government. If you receive a 1099-Misc form, include it in your filings with your California state income tax return.

    Different 1099s

    • When you receive a state income tax refund, California issues a 1099-G form to the federal government to indicate that you received a tax refund, which counts as income on your federal return. Other forms of 1099s include those filed for retirement income, interest income, money earned from independent contractor work and more. There are multiple types of 1099 forms, all of which report income to the government and must be included with your tax return.

    Royalties and Unearned Income

    • Both state and federal governments also count unearned income. While earned income directly relates to services performed for which a payment was received, unearned income relates to those items where you receive interest on savings or money market accounts, interest on escrow accounts or royalties and payments received for work completed in another period, for which sales and royalty income are still being generated. These types of income use a variation of the 1099 form for reporting.

    Filing Your Taxes

    • The state of California allows you to file your taxes online, as does the federal government, and provides you a personal identification number to do so. When you file online, you must submit an “electronic signature,” and only mail any money owed to the state government at tax time with a transmittal form generated by the tax accounting software. All 1099-Misc and other income forms must be kept on hand with your tax records, even when you file electronically.

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