Sellecting Entries on 1099 Misc Income

Jan 06, 2010 1 Replies

I am selling some sound equipment to a company outside the US, in Mexico The buyer sent to me their form on how to pay me. It also has a table for me to complete with choices that look as boxes on a 1099 misc income. The actual table is below:



Type of Income (select only one)



( ) 01 Rents ( ) 02 Royalties ( ) 03 Other Income ( ) 05 Fishing boat proceeds ( ) 06 Medical and health care payments ( ) 07 Non-employee compensation ( ) 08 Subst. payments (dividends/interest) ( ) 9 Payer made dir.sales $5000 or more ( ) 10 Crop insurance proceeds ( ) 13 Excess golden parachute ( ) 14 Gross proceeds paid to an attorney



I am selling property I owned, did not buy with the intent to sell, now I do not needed and can sell for 5000 more. I want this to be a cap gain, now I am afraid it may become income if I don't tell them to reported the correct way.



What do I select from the table, or I need to tell them to do something totally different. Ex. that I am a reseller of private proparty and for them to reported how?



Thanks, Alex


[snipped]

There seems to be a misunderstanding of the rules on the part of the buyer. Payments for merchandise are not supposed to be reported on Form 1099-MISC. (Such payments don't have to be reported at all.) That's why you are having trouble finding a suitable box on the form.

Instructions for Form 1099-MISC

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Bob Sandler

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