AuthorHouse will mail a Form1099-MISC to each U.S. author who earned more than $10.00 in royalties (or incurred withholding greater than $0.00) during the calendar year. The income and withholding represent royalties from Quarter 4 of the previous year through Quarter 3 of the Form 1099-MISC year. The form will be mailed by Jan. 31, and should be delivered to the author in February. This form is required by the Internal Revenue Service (IRS) to report royalty income and withholding. If the author was not paid any monies during the calendar year, then he or she will not receive a Form 1099-MISC. The IRS requires AuthorHouse to have the form mailed/postmarked by Jan. 31, not delivered by Jan 31.
International authors will receive a Form 1042-S instead of a Form 1099-MISC for the royalties earned and the amount withheld during the calendar year. The Form 1042-S will be mailed by March 15.
The IRS requires AuthorHouse to have a Form W-9 or Form W-8BEN on file for each author who may earn royalties. The tax form must include the individual or company’s U.S. Taxpayer Identification Number (SSN, EIN, or ITIN). If the author refuses to provide the form or the digital equivalency, AuthorHouse will begin withholding taxes at the rate of 28% for U.S. citizens (or resident aliens) or 30% for nonresident aliens living outside the U.S. in accordance with U.S. tax law.
What tax information can AuthorHouse provide for me?
AuthorHouse will provide a Form 1099-MISC or Form 1042-S stating royalties earned during a calendar year and the amount of withholding, to assist you in accurately reporting your royalty income. For further information please consult your professional tax consultant.
When does AuthorHouse mail the 1099-MISC or 1042-S?
By law AuthorHouse is required to mail the previous year’s Form 1099-MISC by Jan. 31 of the current year. For non-U.S. persons, the previous year’s Form 1042-S will be mailed by March 15 of the current year.
Why didn’t I get a 1099-MISC this year?
If you were paid less than $10.00, and did not have withholding in the previous calendar year, you will not receive a 1099-MISC.
If I was paid under $10.00 in royalties, do I have to report it on my income tax?
For any questions on reporting your income to the IRS, please consult your professional tax consultant.
Why is the income stated on my 1099-MISC or 1042-S form not equal to the sum of my royalty payments for the calendar year?
The tax form reports the total royalties income earned over the calendar year and taxes withheld. “Royalties income earned” is the amount of your checks before withholding. Your payments equal the difference between your total income on the form and any taxes withheld.
When will AuthorHouse post Quarter 4 royalties so I can complete my income tax return?
Quarter 4 royalties will not be paid to you until the following calendar year; therefore, Quarter 4 royalties will be included on the Form 1099-MISC or 1042-S you receive the following year. Please refer to the Form 1099-MISC or 1042-S you may receive from AuthorHouse to learn the amount of money that has been reported as royalty income (and withholding) for tax filing purposes. Form 1099-MISC will be mailed by Jan. 31of the current year, and Form 1042-S will be mailed by March 15.
I submitted a Form W-9 or a Form W-8BEN in the past. Why am I being asked for it again?
If you receive a request from AuthorHouse to submit your tax information, then we do not have your Form W-9 or W-8BEN in our system, and we need you to resubmit the appropriate form. We may not be able to assign a received tax form to your account due to an issue with matching your tax form with your author account, the tax form may include an incomplete address, or it could be another reason.
I opted-out of submitting my tax information. Why does AuthorHouse continue to request my tax information?
The IRS requires that we have a complete tax Form W-9 or W-8BEN on file even if an author has opted-out of submitting tax information. We are required to request the tax form annually.
If my company should receive the royalties instead of me, as the author, what do I need to do?
First, an account for your company must be created in our system. To have an account created for the company, speak to customer support about a reassignment of rights. Second, a Form W-9 needs to be filled out for the company using the company EIN for the tax ID. Third, the company’s W-9 must be submitted either online through the company’s AuthorHouse account, or by mail (be sure to reference the company’s AuthorHouse account number).
My company’s W-9 was accidentally added to my individual account (or vice versa). How can I correct this?
If your company’s W-9 was added to your individual account, please correct by submitting your individual W-9 and referencing your individual AuthorHouse account. Also, make sure that your company’s W-9 is connected to your company’s account. If your individual W-9 was added to your company’s account, please correct by submitting your company W-9 and referencing your company AuthorHouse account.
I am an international author, what do I need to do regarding the tax forms and ID numbers?
You will need to submit a Form W-8BEN to AuthorHouse. When filling out the form, please remember to include your IRS issued U.S. taxpayer identification number (ITIN for individuals, EIN for companies), your author account number, your country of citizenship, and claim to a lower tax treaty rate (if applicable). Even if you don’t have a U.S. taxpayer identification number yet, you should still submit an initial Form W-8BEN to establish that you are not a U.S. person. Submit the Form W-8BEN once you have a U.S. taxpayer identification number in order to claim a reduced rate or exemption from withholding if your country has an income tax treaty with the United States.
How do I know if my country has a tax treaty with the United States that allows me to claim a lower rate of withholding?
If applicable, you may claim a reduced rate of withholding as a resident of a foreign country with which the United States has an income tax treaty. See the Tax Treaty Tables within Internal Revenue Service (IRS) Publication 515 (see the helpful links below), “Withholding of Tax on Nonresident Aliens and Foreign Entities”, under “Copyrights” for your country’s tax treaty rate. Submit Form W-8BEN when requested by AuthorHouse whether or not you are claiming a reduced rate of withholding.
What if I don’t have an ITIN?
If you do not have a Social Security Number (SSN) and are not eligible to get one, you must obtain an Individual Taxpayer Identification Number (ITIN) to claim your country’s reduced tax treaty rate (if applicable). To apply for an ITIN, file Form W-7, “Application for IRS Individual Taxpayer Identification Number” (see helpful links below) with the IRS. It usually takes 4-6 weeks to receive an ITIN from the IRS.
What if I don’t have an EIN?
Companies may apply for a U.S. Employer Identification Number (EIN) by filing a Form SS-4 with the IRS.
How do I file Form W-7 with the IRS (to obtain an ITIN)?
The W-7 tax form needs to be submitted by you, the author, to the IRS directly. This form is not processed or submitted by AuthorHouse. AuthorHouse can supply you with a support letter that will need to be submitted with Form W-7. Once this process is completed, the IRS will supply you with an ITIN. The ITIN will need to be included on the W-8BEN form that can be completed online through your secure author account or sent to AuthorHouse directly. If you require a W-7 support letter, please make the request with customer support and be sure to include your author account number, legal name, and mailing address.
What is a 1099-MISC form?
Form 1099-MISC is used to report royalty income and backup withholding. The form is for each person who earned at least $10 in royalties during the past calendar year or anyone paid who had any amount of backup withholding regardless of the $10 minimum.
Who will receive a 1099-MISC form?
Authors who have been paid at least $10 in royalties or who have had any backup withholding during the past calendar year will receive a 1099-MISC form. Form 1099-MISC applies to U.S. residents and U.S. resident aliens ONLY and is not sent to nonresident aliens or foreign persons. Nonresident aliens and foreign persons receive Form 1042-S.
What if there is an error on the 1099-MISC form? Is it too late to make changes?
1099-MISC forms are not due to be filed with the IRS until March 31, so we still have time to make changes if necessary. Even after that, we can still file corrected forms with the IRS, so do not panic if something might be wrong.
The amount on my 1099-MISC form doesn’t match my checks; what is wrong?
The amount of royalties reported on the 1099 is the gross amount of royalties paid before any backup withholding. The royalty amount should match the amount of royalties on your statements from Q4 of the previous year to Q3 of the 1099 year, plus any iPad or offset distribution royalties wherever applicable. Subtracting the withholding (box 4) from the royalty income (box 2) should equal the total monies paid to you during the 1099 year. If after careful analysis, you still believe there is an error, please contact AuthorHouse customer support.
One of my checks was not received during the tax year. May I request a corrected 1099-MISC?
If the check was sent to the address on-file during the tax year, the 1099-MISC must include the income (and withholding if applicable) associated with the payment. If the check has still not been received, please contact customer support and request a re-cut.
Why isn’t there a “Recipient’s Identification Number” on my 1099-MISC form?
The “Recipient’s Identification Number” is the box that should include your U.S. Taxpayer Identification Number (TIN). U.S. persons should submit a Form W-9 to AuthorHouse to report their Social Security Number (or EIN for a business). If we receive the update before the IRS filing deadline, March 31, we can guarantee that the updated form with the new identification number will be submitted to the IRS. We encourage online submission of the Form W-9 through your secure author account.Please note: authors may incur a penalty from the IRS for failing to report their TIN or for providing an invalid TIN.
The “Recipient’s Identification Number” on my 1099-MISC form is incorrect; what do I do?
Submit a Form W-9 to provide AuthorHouse with your corrected Social Security Number (or EIN for a business). If we receive the update before the IRS filing deadline, March 31, we can guarantee that the updated form with the new identification number will be submitted to the IRS. We encourage online submission of the Form W-9 through your secure author account.
The “Recipient’s name” on my 1099-MISC form is incorrect; what do I do?
The recipient name on your Form 1099-MISC is the person or entity who earned royalties income during the tax year. In most cases, the name must remain unchanged. However, if you were the recipient of the royalty income during the year and there is a spelling error with the last name, then we may be able to issue a correction before filing with the IRS on March 31. To request a 1099-MISC name correction, contact AuthorHouse customer support.
The “Recipient address” on my 1099-MISC form is incorrect; what do I do?
The IRS does not match addresses. If you have received the form, then there is no need to request a new form with an updated address. If you would like to update your address for future mailings, please contact AuthorHouse customer support.
I cannot locate my 1099-MISC form; how can I request a copy?
Please contact AuthorHouse customer support and request a copy of your 1099-MISC form. Be sure to indicate the tax year. The copy can be e-mailed with the Taxpayer Identification Number masked, or sent by the post if necessary.
Where can I find more information about my tax forms?
Check out these helpful links:
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