Hi There,

Yes - We are Incorporated as a Non Profit Corporation, so we are, in fact, a non profit. However, that is separate from 501c3 tax excemption.

Not For Profits are Incorporated without any owners (ie There is no equity, and the Entity cannot be sold).  The 501c3 status is a separate application process, which only an Entity Incorporated as a Not For Profit is able to obtain. However, that is separate from the heart of the question related to 1099s;

My question is more directly related to paying MDs through 1099s

1. Does that automatically make them 'Contractors', or is a 1099 just a form of information reporting so the IRS is able to collect a tax?

2. If you pay a Medical Bill on somebody's behalf, to the Provider, do you file a 1099? (I assume yes, but just checking).

For example, if we operated as a cost free payment processing service, take in funds to cover patients, and pay Doctor Bills on the patient's behalf, would we complete the 1099?

Thanks!