Pennsylvania 1099 Filing Requirements and Deadlines

If you issue a federal Form 1099-MISC or 1099-NEC for Pennsylvania-source income, Pennsylvania 1099 filing requirements oblige you to send a copy to the Department of Revenue by January 31, provide the payee a copy by March 31, submit a REV-1667 reconciliation, and, for qualifying payments to nonresidents, withhold Pennsylvania personal income tax at 3.07 percent. The state does not set its own dollar threshold; your Pennsylvania obligation is triggered by the federal one, which for tax year 2026 rises to $2,000.

Who Has to File

Pennsylvania requires a 1099 filing from anyone who pays Pennsylvania-source income falling within the state’s eight classes of taxable income and who is required to file a federal 1099-MISC or 1099-NEC for those payments. The eight classes are compensation, net profits, interest, dividends, rents, royalties, gains from property sales, and gambling or lottery winnings. The payee may be a resident or nonresident individual, an entity treated as a partnership for Pennsylvania personal income tax purposes, or a single-member LLC.¹

This is broader than independent contractor payments. Rents, royalties, and other income reported on 1099-MISC are included. If a federal form is required and the income has a Pennsylvania source, the Department of Revenue needs a copy.

The $2,000 Reporting Threshold for 2026

Starting with tax year 2026, the federal minimum that triggers a 1099-NEC filing rose from $600 to $2,000. The same increase applies to most 1099-MISC payment categories, with narrow exceptions such as royalties, which keep a $10 threshold. The $2,000 figure will adjust for inflation beginning in 2027.²

Because Pennsylvania’s statute requires a state filing only when you are required to file the federal form, the thresholds move together.³ Pay a contractor less than $2,000 during 2026 and no federal 1099 is required; no Pennsylvania filing is required either. If your practice has been to issue a 1099 for every payment above $600, recalibrate before year-end.

Nonresident Withholding at 3.07 Percent

Filing the form is only part of the obligation when you pay a nonresident. Act 43 of 2017, codified at 72 P.S. § 7316.2, requires payors to deduct Pennsylvania personal income tax from certain payments to nonresident individuals and to disregarded entities with nonresident members.⁴ The rate is Pennsylvania’s flat 3.07 percent personal income tax, applied to the net payment.⁵

The obligation is tied to the 1099 filing requirement, which means three tiers apply to nonresident payments during 2026:

Under $2,000: no federal 1099 required, so no Pennsylvania filing and no withholding.
$2,000 to $4,999: Pennsylvania filing required; withholding is optional.
$5,000 and above: Pennsylvania filing required; withholding at 3.07 percent is mandatory.

The Department of Revenue encourages payors to withhold even below $5,000 when the annual total is uncertain, since you may not know until year-end whether you’ll cross the line.⁶ Government payors, including the Pennsylvania State System of Higher Education, are exempt.

Filing Deadlines

Pennsylvania’s 1099 submission deadline is January 31 of the year following payment, matching the federal due date for 1099-NEC.¹⁷ When January 31 falls on a weekend or legal holiday, the deadline moves to the next business day.

Pennsylvania also sets a separate payee deadline that catches people off guard: copies of the 1099-MISC or 1099-NEC must reach the payee by March 31.¹ Because the federal payee deadline for 1099-NEC is January 31, the March 31 state deadline affects 1099-MISC recipients in practice.

You can request an automatic 30-day federal extension by filing IRS Form 8809 through the FIRE system on or before the original due date.⁸ A federal extension does not extend your Pennsylvania deadline; contact the Department of Revenue separately if you need more state time.

Submitting Through myPATH

The Pennsylvania Department of Revenue uses the myPATH portal as its filing hub for 1099 submissions.⁹ You can enter forms manually or upload them in bulk. Bulk uploads use CSV files for 1099-MISC and 1099-NEC income statements, capped at 20 MB, and the system validates each file on upload. File format specifications are available through the department’s bulk payment and filing specifications page inside the portal.¹⁰

To upload, log into myPATH, go to the Summary tab, and locate the Annual Reconciliation account panel for your Other Income withholding tax account. Select the Reconciliation File Upload link and add your CSV. Validation errors appear immediately so you can correct formatting problems before final submission.¹⁰

If the federal copy you filed with the IRS does not already show Pennsylvania state income and state tax withheld, you must update the copies going to the Department of Revenue and the payee so those fields are populated.³

When Electronic Filing Is Required

Pennsylvania law requires electronic 1099 filing from any payor who is already required to file employer withholding returns electronically.³ In practice, that generally means a payor issuing 10 or more combined W-2 and 1099 forms must file electronically. Below that threshold, paper is acceptable. Paper forms and the REV-1667 should be mailed to the Pennsylvania Department of Revenue, Bureau of Individual Taxes, postmarked by January 31.

The REV-1667 Reconciliation

After submitting the 1099 forms, you must also file Form REV-1667, the Annual Withholding Reconciliation Statement. It ties your individual 1099 filings to the quarterly withholding returns submitted during the year. A separate REV-1667 is required for each type of withholding account you hold: employer, other income, or retirement.¹¹

Timing matters. After you upload 1099 income statements through myPATH, wait at least 48 hours before filing the REV-1667 so the system can populate your submitted figures onto the reconciliation form. If the prepopulated numbers don’t match your records, you can adjust them manually.¹¹

Penalties for Missing the Deadline

Pennsylvania does not publish a detailed penalty schedule for late 1099 filings the way the IRS does. Late or missing filings can draw state penalties and interest, and the Department of Revenue may assess additional charges during an audit. The larger exposure for most filers is federal.

The IRS imposes tiered penalties for each information return filed late or incorrectly. For 2026, the amounts are $60 per return if filed within 30 days of the deadline, $130 per return if filed after 30 days but by August 1, and $340 per return if filed after August 1 or not filed at all. Intentional disregard carries a $680 per-return penalty with no maximum cap.¹²

These apply per form. A business with 50 unfiled 1099s faces $17,000 or more at the middle tier alone, with interest accruing until paid. Filing a few days late costs far less than missing by months, and ignoring the requirement entirely is the most expensive outcome.

1
Pennsylvania Department of Revenue. Personal Income Tax Bulletin 2023-01
2
Internal Revenue Service. Publication 1099 – General Instructions for Certain Information Returns
3
Pennsylvania General Assembly. Pennsylvania Code 72 P.S. 7335
4
New York Codes, Rules and Regulations. Pennsylvania Code 72 P.S. 7316.2 – Withholding Tax Requirement for Nonemployer Payors
5
Commonwealth of Pennsylvania. Tax Rates
6
Pennsylvania Department of Revenue. What Is Pennsylvania’s 1099-MISC Filing Requirement, Under Act 43 of 2017?
7
Internal Revenue Service. Form W-2 and Other Wage Statements Deadline Coming Up for Employers
8
Internal Revenue Service. About Form 8809, Application for Extension of Time to File Information Returns
9
Commonwealth of Pennsylvania. myPATH – Pennsylvania Tax Hub
10
Pennsylvania Department of Revenue. How Do I Submit W2, 1099-MISC/NEC, and/or 1099-R Income Statements
11
Pennsylvania Department of Revenue. How Do I File the Annual Withholding Reconciliation (REV-1667)?
12
Internal Revenue Service. Information Return Penalties