The penalty is based on whether the correct information is on the return. The penalty
can be from $50 per 1099 Form, the maximum penalty can be up to $194,000. The
penalty increases to $100 per 1099 form if you submit more than 30 days after the
due date, but by August 1; the maximum penalty is $556,500. If you file after August
1, the penalty increases to $280 per 1099 Form, with a maximum of $3,392,000.
Additionally, there are penalties for failure to furnish the payee statement.