How to Process 1099 Forms
Step 3: Pull 1099 Information More Details
This utility will pull the payment information for all vendors that are marked to send a 1099. In the Vendor Master - the Send 1099? box must be check marked. Vendors that the box is unchecked will not be included in this data.
It is also highly recommended, that the Federal ID box have the vendor's correct ID# before pulling the data. Any blank Federal ID's must be entered later in the "Edit 1099 Information" to the Recipient's ID field before printing. Vendors with a blank Federal ID will not print a 1099 form and will not be included in electronic files.
When vendor information is pulled, the payment will be assigned to each box based on certain criteria:
- Vendor payments are pulled based on the check date, not the invoice or general ledger date.
- Box assignment on the 1099 are based on:
- If the General Ledger Account used for the Accounts Payable Distribution has a 1099 Box Code assigned, the process will assign the payment amounts based on this 1099 Box Code.
- If the General Ledger Account used in the Accounts Payable Distribution does not have a 1099 Box Code assigned, then:
- If the Vendor has a 1099 Type assigned in the Vendor Master, the payment amounts will be assigned based on the 1099 Type
- If the Vendor has the 1099 Type set to <undefined>, the process will default to Box 7 - Non Employee Compensation
- All Landlord payments in the Section 8 program will default to Box 1 - Rents.
11/2021