Newbie form 1099 contractor question--cash or credit?

[Nathan G.]

I would like a contractor to do some tree work on my first rental next week.  The quote is $1900 cash or check.  I just learned about filling out a form 1099 for contractor payments of over $600.  It looks like I can avoid the form 1099 if I pay by credit card or Paypal, which I am tempted to do.  However he will charge more in that case.

How much extra is it worth paying by credit card to avoid the form 1099?  I also get 1.5% reward on my card and it's easier tracking credit card expenses.

[Bill Crow]

@Nathan Gomes

The 1099 takes about a minute to fill out. HOWEVER, the challenge will be that you need to get a W-9 from the contractor, which gives you their legal name, address and tax ID number for reporting the payment. If they are avoiding taxes, they won’t give you the info.