Need 1099 Advice Regarding Employer paid Travel

[Tidybuoy]

I have a unique situation and I'm wondering if I have to 1099 an employee.

We are a California company and our IT guy lives in Utah. He comes to California every other week and the company pays for his airfare from Utah to Modesto, Ca. We then pay for a rental car for him to get from his parents home in Modesto to our plant in Madera, CA.

I'm wondering if any of this travel expense should be considered 1099 income since we don't pay for any other employees to get to work.

Hoping there are some experts out there that may know the answer.

[wildthing]

It's a business expense I assume. I have remote workers and we pay for their travel and home connection...I doubt that is considered income.

[Gogar]

If you are witholding for him then probably not. It's an expense deductible by you.

You can't withold for an employee and also 1099 them unless they worked for you in different capacities and also different times during the same year. etc. Based on my stay at HIE last night.


http://smallbusiness.chron.com/give-1099-w2-same-person-32664.html

[Seahawk]

The terms of your 1099 agreement should specify travel allowances, what is billable income during travel and what are allowable travel expenses.

We include restrictions on billable hours during certain travel events...we do not pay our 1099's salary and travel getting to work if they live outside the local area unless we agree on the details in advance.

Some government contracts are very specific on 1099 employees and that influences our 1099 agreements.

We use GSA per diem and other allowable travel charges for travel.

I am writing this from an iPad, which I hate, so I apologize for the sloppy syntax.