Does a company need to send a 1099 to an LLC that sold it equipment parts?

Feb 15, 2019

If a company purchases equipment parts from a limited liability company (LLC), does the company that bought the equipment parts need to complete a 1099-MISC form at the end of the year for all purchases it made from the LLC? This is for equipment parts that are bought; the company is not renting them. Are 1099 forms only completed for independent contractor services and services in general, and do not apply to actual physical goods/merchandise acquired?

No 1099 needs to be sent to a limited liability company that sells parts.

For more resources, check out PICPA’s Money & Life Tips, Ask a CPA, or CPA Locator.

Answered by: James F. DiFilippo, CPA, is the owner of DiFilippo & Company CPAs in Toughkenamon, Pa.

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