1099-NEC vs 1099-MISC: What's the Difference?
The IRS split these forms in 2020. Here's which one you'll receive and what it means.
By Reba Donaldson · Last reviewed: April 2026
Why there are two forms now
Before 2020, all non-employee compensation — freelance income, contractor payments, and miscellaneous income — was reported on the 1099-MISC. In 2020, the IRS brought back the 1099-NEC (Nonemployee Compensation) specifically for payments to independent contractors and freelancers, separating them from miscellaneous income.
If you do contract or freelance work, you now receive a 1099-NEC. The 1099-MISC still exists for other income types.
- Freelance and contractor payments
- Paid $600+ for services
- Due January 31st
- Goes on Schedule C
- Subject to self-employment tax
- Rent, royalties, prizes, awards
- Medical and healthcare payments
- Attorney payments
- Due February 28th (paper) / March 31st (e-file)
- Usually not subject to SE tax
Which one will you receive as a freelancer?
If you were paid for services as an independent contractor — writing, design, consulting, coding, photography, or any other service work — you'll receive a 1099-NEC. This is the form that triggers self-employment tax and Schedule C reporting.
You might also receive a 1099-MISC if a client reimbursed you for something unusual, paid you a prize, or made payments that don't fit the NEC category — but for most freelancers, the 1099-NEC is the form you'll deal with.
What if you received the wrong form?
If a payer accidentally sends you a 1099-MISC for freelance income that should have been on a 1099-NEC (or vice versa), contact them for a correction. The distinction matters because 1099-NEC income is subject to self-employment tax and 1099-MISC income (such as rent) generally is not.