Business Central US - IRS 1099
- Petr Kupka
Introduction
This document describes how to set up Vendors as 1099, how to mark already posted entries for reporting of 1099 and how to actually send a report to particular Vendors from BC.
How to set up Vendor as 1099
Navigate to Vendor Card
Go to “Payments” section
Press on “Show more”
Fill in the “IRS 1099 Code” with the desired code
Marking the Vendor as 1099 only influences newly generated Vendor Ledger Entries from the time of setup onwards (Vendor Ledger Entry is generated upon Purchase Invoice or Purch. Cr. Memo posting). In order to report entries that have already been posted, the Vendor Ledger Entries must be marked with a 1099 code manually.
How to mark historical Vendor Ledger Entries as 1099
In order to include Vendor Ledger Entries in 1099 reporting and submission, they must be marked with a 1099 code. Even though users are not able to change Vendor Ledger Entries after they are created, the “IRS 1099 Code” field is always editable and can be changed.
Navigate to Vendor Card
Use action “Ledger Entries” in “Vendor” tab
Filter for desired Vendor Ledger Entries of type “Invoice” or “Credit Memo” and scroll right to columns “IRS 1099 Code” and “IRS 1099 Amount”
The “IRS 1099 Code” needs to be set in order to include the entry in reporting and submission
The “IRS 1099 Amount” can be set to full or partial amount of the document, this amount will be reported and submitted
Only Vendor Ledger Entries of type Invoice and Credit Memo are reported
How to submit 1099 electronically and inform the vendors