• Pro Services
  • Venues & Colleges
  • Festivals & Conferences
  • Members
  • Show Availabilities
  • Band Availabilities
  • Classifieds
  • Blog
  • Home
  • Features
    Pro Services Venues & Colleges Database QuickPitch Emailing Festivals & Conferences Show Availabilities Band Availabilities Classifieds
  • Members
  • Account Benefits
  • Blog
  • Home
Login Sign Up

2024 Tax Tip for Self-Employed Musicians

SHARE
  • Facebook logo

Posted: Feb 21, 2024

Category: The Musician Business

make money music business taxes well paid musician keys to success hacks w9 1099

**Guest post written by Matt Santry, founder of www.WellPaidMusician.com.

 

Tax Tips Well Paid Musician

 

 

"The ARP required third party settlement organizations (TPSOs), which include popular payment apps and online marketplaces, to report payments of more than $600 for the sale of goods and services on a Form 1099-K starting in 2022.” - www.irs.gov/newsroom



"2024 Tax Tip for Self-Employed Performers: This year (2024), pay all your contractors via one electronic pay method like PayPal or Venmo so that you can reduce or eliminate issuing 1099s next year. This is because of the new 1099-K.


Form 1099-K was introduced with the American Rescue Plan. The ARP required third party settlement organizations (TPSOs) e.g. PayPal/Venmo, to report payments of more than $600 for the sale of goods and services on a Form 1099-K starting in 2022.

The $600 threshold has been postponed. For the 2023 tax year, the threshold is $20,000 or 200 transactions. So unless you’ve paid each individual contractor 200 times or $20K +, then  you're going to have to issue 1099-NECs for 2023.

Here’s how you do it.

 Any contractor you pay $600 or more in a calendar year has to be reported to the IRS on Form 1099-NEC. This could be anyone from a musician you hire in a gig, a sound tech, a producer, a videographer, any non-employee, you pay at least $600 for services in a year.

This is what the 1099-NEC  form looks like 👇

 

1099

 

 

Step 1: Ask the contractor for a W-9. It looks like this 👇

 

w9

 

 

Have the contractor fill it out and send it back to you.

Pro Tip: Get the contractor to send you their W-9 before you pay them. Otherwise, you will have to chase them down at tax time, and may get ghosted 👻


Step 2: Go to a site like track1099.com and submit the information from the W-9.


This issues the 1099s to your contractors, and the IRS will receive that information as well.

It's best to do this in January. It's currently the beginning of February, so you're not too late. Just get it done ASAP.


Watch the quick tutorial on YouTube 👇"

 

 

 

Related Blog Posts:

+The Importance of Gig Contracts (free template)

+Navigating the Modern Music Industry: A Guide for Independent Artists

+Musician's multiple streams of income. Top 10 ways to make money on your music

 

 

IOTM News

Join Our Newsletter
Tweets by Indieonthemove

Venue Reviews

More Reviews
  • kristen

    formerly rockwood #2

    Knitting Factory at Baker Falls, New York, NY - Booking Information & Music Venue Reviews · 4 days ago

  • Stud Ford & Will Coppage

    We cannot say enough amazing things about The Nick. From the booking process, accommodating a late load in (stuck under an underpass for about 45...

    Indie on the Move The Nick · 4 days ago

  • JonTylerWiley&HisVirginiaChoir

    One of my favorite rooms to play, either solo or with a band. Great sound, great staff.

    Gibson Music Hall, Appleton, WI - Booking Information & Music Venue Reviews · 1 week ago

  • Angela Stendel

    GET TO ALL OF THEIR SHOWS!! Tammy and Greg ROCK!!!!!

    Every Buddy's Bar and Grill, Chippewa Falls, WI - Booking Information & Music Venue Reviews · 1 week ago

  • Austin Miller

    closed

    Corks Wine Co., Bluffton, SC - Booking Information & Music Venue Reviews · 2 weeks ago

About | Features | Pricing | Testimonials | Contact | Newsletter | Blog | Touring Tips | Terms | Privacy
  • About
  • Features
  • Pricing
  • Testimonials
  • Newsletter
  • Contact IOTM
  • Members Directory
  • Blog
  • Touring Tips
  • Terms & Conditions
  • Privacy Policy
  • Professional Services
  • Venues & Colleges
  • Festivals & Conferences
  • Show Availabilities
  • Band Availabilities
  • Classifieds
Facebook X Instagram
Back To Top

© 2025 Indie on the Move. All rights reserved.