[AP] Setting AP Vendors to be Subject to 1099 Reporting

Setting a Vendor for 1099 Reporting

• Check Subject to 1099 Reporting on the Add’l Info tab of the AP Vendors form.

  • This ensures all transactions for the vendor are flagged for 1099 totals.

• Once checked, fields for 1099 Type, Box #, Proprietor, Include in 1099 Processing, and Mailing Address Seq are enabled.

• Enter the 1099 Type to track amounts for this vendor (press F4 for a list).

Note:

• Only 1099 types MISC, NEC, INT, or DIV can be used if the vendor’s amounts should appear on printed or electronic 1099s.

• After selecting the type, choose the box number. F4 lookup will show only boxes valid for that type.

Tax ID#

• Enter the vendor’s SSN or EIN (federal tax ID) for the 1099 form.

• Use the drop-down to specify which type of number you entered.

Proprietor Name

• Enter the owner’s name as “Last Name, First Name” for 1099 filing.

• Used with the vendor name to reconcile the Tax ID#.

• First and Last Name fields must be filled if using the SSN option.

Include in 1099 Processing

• Check this box to include the vendor’s totals in 1099s even if payments are below the minimum.

Note:

• If the box isn’t checked, 1099s are printed only if payments meet or exceed the Minimum Payment Amount.

Mailing Address Seq:

• Enter a sequence or press F4 to select an address other than the vendor’s payment address.

• The system uses this address for printed or electronic 1099s.

1099 Setup Complete

• All new invoices for this vendor will follow the 1099 settings you selected.

Note:

• Changes made later do not affect existing invoices.

• To update existing invoices, you must do so manually in AP Transaction Entry, AP Unapproved Invoice Entry, or AP 1099 Processing.