Rentec Direct helps you prepare and file 1099s that meet the new 2026 tax requirements, which changed the reporting thresholds from $600 in 2025 to $2,000 in 2026. Rentec Direct’s flexible reporting and e-filing options help you keep up with the changing IRS requirements.
Tax season is right around the corner, and it’s bringing new 1099 reporting requirements that may affect your filings.
For the first time in more than 50 years, the IRS has increased the reporting threshold for certain payments reported on forms 1099-MISC and 1099-NEC. This change may mean fewer 1099 forms for some landlords, property managers, and real estate professionals.
At Rentec Direct, we understand how important it is to have software that keeps up with changing reporting requirements. We’ve updated our 1099 reporting tools to make it easier to identify, review, and file tax forms under the new 2026 requirements.
What Changed for 1099 Reporting in 2026?
For qualifying payments made in 2026, the federal reporting threshold increased from $600 to $2,000 for certain payments reported on forms 1099-MISC and 1099-NEC.
The $600 reporting threshold had been in place since 1954 without an inflation adjustment. The new $2,000 threshold was established for payments made after December 31, 2025, and will be adjusted for inflation beginning in 2027.
The increased threshold applies to certain reportable payments, including:
- Form 1099-MISC: Certain rent payments and other qualifying payments, including rent paid to property owners.
- Form 1099-NEC: Payments for services performed by nonemployees, including services provided by contractors and other vendors.
State Reporting Requirements
Some payments have different reporting rules and thresholds. Learn more about 2026 reporting requirements in Publication 1099.
While the federal reporting threshold for Forms 1099-NEC and 1099-MISC rose to $2,000 for qualifying payments made in tax year 2026, state rules vary widely since local tax agencies set their own requirements. Some states continue to require 1099 reporting at a lower threshold, so be sure to verify your state’s guidelines before altering your year-end filing processes.
For example, New Jersey requires 1099 reporting when $1,000 or more is paid or credited during the calendar year, including certain rents and other reportable payments. Mississippi sets its own $600 reporting threshold for Form 1099-MISC, and Missouri filing requirements for MO-99 MISC (Comparable to federal Form 1099-MISC) remain at $1,200.
As you can see, the requirements can vary, but even if your state requires reporting below the $2,000 federal threshold, you can still safely e-file your 1099s. The IRS does not penalize businesses for voluntarily filing 1099s for payees below the $2,000 federal limit.
Because state requirements can change independently of federal rules, verify the current requirements with your state’s tax or revenue agency before filing.
1099 Reporting and E-Filing Updates in Rentec Direct
Rentec Direct has updated the 1099 Tax Assistant report and e-filing tools to support the new 2026 reporting requirements and give you more flexibility when reviewing payments and preparing tax forms.
Learn more about Federal and State E-filing and Print Options in Rentec Direct.
New Options
The following options are now available in both the 1099 Tax Assistant report and 1099 e-filing:
- Include vendors and collected payees who have received payments but may not have a fully configured vendor/payee profile.
- Filter payments by:
- All payments
- $600 or more
- $2,000 or more
These options provide more flexibility when reviewing payment information and preparing or filing your 1099s.
Electronic Filing
Rentec Direct supports e-filing for both 1099-MISC and 1099-NEC forms. The reports and e-filing use information already recorded in your account helping to reduce manual data entry.
Note: 1099 tax e-filing is available with Rentec Pro and PM subscriptions. Rentec Starter subscribers can easily upgrade at any time to access 1099 tax e-filing. See How to Change Your Rentec Direct Subscription for step-by-step instructions.
Before You File
Before preparing your 1099s, make sure you have current W-9s for owners and vendors.
Keeping owner and vendor information current can help prevent last-minute changes and ensure your forms have the correct recipient information.
- Request a completed W-9 when you begin working with a new owner or vendor, so you have the information available when tax reporting time arrives.
- If information has changed, request an updated W-9 to verify and update the recipient’s information before preparing your 1099s.
Learn more about Form W-9s.
Note: Rentec Direct does not provide legal or tax advice. Filing requirements and deadlines may vary by federal, state, or local regulations. Consult your tax professional to verify the filing requirements and methods that apply to you.
Have Questions?
Connect with your US-based Award-Winning Success Team weekdays from 6 am to 5 pm (PST). Just click on the Live Expert Help link to email or chat with live support, email success@rentecdirect.com, or call 800-881-5139 ext 2.
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About Rentec Direct
Rentec Direct provides industry-leading property management software and tenant screening solutions for real estate professionals across the small, mid, and large property management segments. Key features include online rent payments, a mobile app and tenant portal, vacancy listing syndication, and robust accounting tools. Founded in 2007, Rentec Direct is the largest software platform serving both landlords and property managers, with more five-star reviews than any other property management software. A 10-time honoree on the Inc. 5000 list of fastest-growing private companies, Rentec Direct was also named Real Estate Company of the Year in the 2026 American Business Awards® and recognized among the U.S. Chamber of Commerce’s Top 100 Small Businesses. www.rentecdirect.com
