We paid an artist $4600 for a painting for the office. Her W-9 states she is a sole proprietor. Is an art work purchase 1099 reportable?


I spoke to IRS information agent Mr. Estepp (ID #1001306188) on this one. Here's the answer:

If you simply purchased a painting from the artist, then that's merchandise and not 1099-reportable. However, if you commissioned the artwork specially and it was custom-made for you, then it's a service and it is reportable. Her sole proprietor status means she should indeed receive a 1099 in that case.

Have more questions? Submit a request