Set Vendors Subject to 1099 Reporting (United States)
You can set a vendor to be subject to 1099 Reporting in the AP Vendors form, even if you are not completely certain whether the vendor is subject to reporting.
To set a vendor subject to 1099 reporting in AP Vendors:
- On the Add'l Info tab, select the Subject
to 1099 reporting check box.The system enables the 1099 Type, Box#, Proprietor, Include in 1099 Processing, and Mailing Address Seq fields.
- In the 1099 Type field, enter the 1099 type that the system will use to track payable amounts subject to 1099 reporting for this vendor. Press F4 for a list of 1099 types.
- In the Box# field, press F4 to select from a list of valid boxes on the 1099 form where 1099 amounts will accumulate and print for this vendor.
- In the Tax ID# field, enter the vendor’s federal tax identification number. This number prints on the 1099 form.
- In the Proprietor field, enter the proprietor (owner) name, if any. You must enter the name as "Last Name, First Name" to enable proper 1099 electronic filing.
- Select the Include in 1099 Processing (ignore minimum) check box if the system should include a vendor's totals when processing (downloading or printing) 1099s, regardless of whether the vendor's payment is less than the specified minimum payment amount.Note: If you do not select this check box, the system only prints a 1099 for the vendor if the vendor's payment is equal to or greater than the value in the Minimum Payment Amount field in the AP 1099 Download form.
- If you need to send the 1099 to an address other than the payment address specified for the vendor on the Info tab, enter a mailing address sequence in the Mailing Address Seq field or press F4 to see a list of sequences. These sequences are maintained on the Add'l Addresses tab of the AP Vendors form. If you enter a sequence in this field, the system will use the associated address when printing 1099s or generating electronic files with AP 1099 Download.
- Save the record.