U.S. · Tax forms
1099-MISC box 12, section 409A deferrals.
An optional box, and how it differs from box 15.
Box 12 of Form 1099-MISC is for section 409A deferrals, and the instructions say you do not have to complete it. If you do, enter the total amount deferred during the year, of at least $2,000, for the nonemployee under all nonqualified plans, including earnings on current and prior year deferrals. Taxable failures go in box 15 instead.
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Result
What the instructions say
The box 12 instructions begin with “You do not have to complete this box” and point to Notice 2008-115. If you complete the box, enter the total amount deferred during the year of at least $2,000 for the nonemployee under all nonqualified plans. The deferrals during the year include earnings on the current year and prior year deferrals. For deferrals and earnings under nonqualified deferred compensation plans for employees, the instructions send you to the General Instructions for Forms W-2 and W-3.
Box 12 versus box 15
| Box 12 | Box 15 | |
|---|---|---|
| Name | Section 409A deferrals | Nonqualified deferred compensation |
| Required? | No, optional | Listed in the instructions’ $2,000 filing rules |
| Amount | Total deferred in the year, of at least $2,000, under all nonqualified plans, with earnings | Amounts deferred, of at least $2,000, with earnings, that are includible in income under section 409A because the plan fails its requirements |
| Meaning | Information about deferral | Income to the recipient this year |
Why it is optional
The 1099-MISC filing list in the instructions includes section 409A deferrals (box 12) among the items with a $2,000 line, but the specific box instruction says completing the box is not required. The instructions do not give a reason; follow Notice 2008-115 if you are deciding whether to complete it.
What this page cannot decide
Whether a plan meets section 409A is a technical question outside the box instructions. The instructions refer to Regulations sections 1.409A-1 through 1.409A-6 and the notices listed under box 15. A plan sponsor or tax professional decides that, not this page.
Worked example
A company defers $5,000 of a consultant’s fees under a nonqualified plan during the year and credits $300 of earnings on that and earlier deferrals, so the total is $5,300. If the company chooses to complete box 12, it enters $5,300. If it leaves the box empty, the instructions do not treat that as an error, since the box is optional.
Related decoders
More 1099 box pages: 1099-MISC box 15, nonqualified deferred compensation, 1099-NEC box 2, direct sales of $5,000 or more, 1099-MISC box 1, rents, 1099-NEC box 4, backup withholding at 24 percent, 1099-MISC box 4, federal income tax withheld. For the 1099-R box 7 codes see the 1099-R distribution codes lookup.
Sources
- Instructions for Forms 1099-MISC and 1099-NEC (12/2026): the box-by-box section for this form. Read November 2, 2026. The IRS page was last reviewed July 1, 2026 and labels the instructions 12/2026.
Edition read: Instructions for Forms 1099-MISC and 1099-NEC (12/2026). The instructions say the $2,000 minimum threshold applies for tax years beginning after 2025 and may be adjusted for inflation beginning in calendar year 2027; check which year your own form covers. This page summarizes the instructions and does not replace them.
Frequently asked questions
Is box 12 on 1099-MISC required?
No. The instructions state that you do not have to complete this box.
What goes in box 12 if I complete it?
The total amount deferred during the year of at least $2,000 for the nonemployee under all nonqualified plans, including earnings on current and prior year deferrals.
How is box 12 different from box 15?
Box 15 reports amounts of at least $2,000 that are includible in income under section 409A because the plan fails to satisfy its requirements. Box 12 is the deferral amount, and is optional.
Does a box 12 amount mean I owe tax on it now?
Not from the box 12 instructions alone. They describe deferrals; amounts includible in income under section 409A because of a failed plan are the box 15 amounts.
Where are employee deferrals reported?
The instructions point to the General Instructions for Forms W-2 and W-3 for employees’ nonqualified deferred compensation.
Not tax advice
This page summarizes IRS instructions, mostly written for the people who prepare the form, and is not tax, legal or financial advice. The payer, a CPA or an enrolled agent can confirm what a box means for your return. Everything runs in your browser; nothing you enter is sent anywhere.