In the past, we've only had to give Form 1099s for services and to unincorporated entities. Now everybody gets a Form 1099, corporations included, and for all payments - services AND goods.
If you buy office supplies at Office Depot, better be prepared to give a Form 1099-MISC to them if the aggregate is over $600 in a year."
And the IRS gets a copy!
For more information, see Diane Kennedy's tax blog atDiane Kennedy's USATaxAid Got W-9? How New Health Care Bill Form 1099-MISC Requirement Will Drown You in Paperwork