1099 Process Notes

Silvertrek Process:

• Sending 1099 Email in November
• Create a 1099 team for Auditing and Filing 
• If we stay on the audits our January will be light enough we would be able to take on more stragglers bringing more profit/income in for Silvertrek. Our email notifier will help get an idea of work load to better prepare for year end.
• Create premium Fee for last minute customers, select a date where this is due.
• 1099 team late day for year end in January?

1099 Process Procedures:

1. Elimination Criteria to know what 1099's to Process

2. AP Vendor Vista Set Up (In Compliance)

3. What makes a vendor a 1099 vendor?

4. End of Year Initial Email 

5. Audit Process End of Year

6. 1099 Filing Process

7.End of Year Recap Email

1. Elimination Criteria to know what 1099's to Process

1. Run the AP Vendor Totals Report and export to Excel 
2. Remove any vendors that are:
    a. Paid by Credit Card
    b. Paid less than $600.00
    c. Corporations or taxed as a corporation
    d. Any sort of government or municipal agency
    e. Employees being paid for reimbursements
    f. Paid for something other than a service (such as materials/supplies)
3. The vendors left in the list, are the vendors who should be receiving a 1099.

https://www.corpnet.com/blog/does-an-llc-get-a-1099/ 

2. AP Vendor Vista Set Up

How To for AP Vendor

3. What makes a vendor a 1099 Vendor?

1099 Breakdown Article

1099 Eligibility: Please see IRS site for information

https://www.irs.gov/businesses/small-businesses-self-employed/reporting-payments-to-independent-contractors

You'll want to reference the Vendor's W-9 when filling information into this tab

Green = Yes 1099
Pink/red = No 1099

1099-DIV: The form on which financial institutions report dividends.

1099-INT is a tax form issued by interest-paying entities, such as banks, investment firms, and other financial institutions, to taxpayers who receive interest income of $10 or more.

1099-MISC: The form used to report various types of income, such as royalties, rents, and numerous other types of income.

1099-NEC: The form used to report payments to nonemployees, such as independent contractors.

4. End of Year Initial Email

Initial Email Template:

Greeting,

• Please make sure that any changes or updates of vendors needed have been complete so we can ensure we have a smooth 1099 filing process.
• Silvertrek has done Quarterly Checks, but we know things can change that companies are more aware of and we want to make sure we aren't missing any changes.
• Silvertrek does the most accurate they can with information given, if Silvertrek did not have information on vendor changes, Silvertrek is not responsible.
• If a 1099 is missed due to AP Vendor Set Up being inaccurate Silvertrek is not responsible.
• Verify all 1099 Customers have their W-9 and/or EIN number set up in Vista.

• If a 1099 is missed due to AP Vendor Set Up being inaccurate Silvertrek is not responsible.
• Verify all 1099 Customers have their W-9 and/or EIN number set up in Vista.

5. Audit Process End of Year

W-9 and 1099 Audit Process and Review

6. 1099 Filing Process

How To Process
Aatrix Filing Process



7.End of Year Recap Email

Greeting,

• 1099's have been filed with any changes or updates of vendors by the customer and Silvertrek is not responsible.
• Silvertrek does the most accurate they can with information given, if Silvertrek did not have information on vendor changes, Silvertrek is not responsible.
• If a 1099 is missed due to AP Vendor Set Up being inaccurate Silvertrek is not responsible.
• Filed all 1099 Customers have their W-9 and/or EIN number set up in Vista that follow meeting guidelines per data provided by Customer.

• If a 1099 is missed due to AP Vendor Set Up being inaccurate Silvertrek is not responsible.
• Verify all 1099 Customers have their W-9 and/or EIN number set up in Vista.