AP Default Vendor window: 1099 tab
If you issue 1099s to your vendors, enter 1099 information in this tab for reporting purposes.
This tab is only available when the 1099 Applicable check box is selected in the top of the AP Default Vendor window.
If many of your vendors require 1099 forms and have the same 1099 types, you can save yourself time by entering that information here to set these defaults for new vendors.
Business / Individual
You can set a default of business or individual for vendors using these radio buttons.
2nd TIN Notice
You can set a default for whether vendors provide incorrect Taxpayer Identification Number (TIN); however, it is most likely that you would leave this box deselected because this is generally untrue for most vendors.
The 2nd TIN Not. box will be marked on any 1099 forms printed for vendors for whom you have selected this option.
Federal ID
Enter the vendor’s federal identification (ID) number for reporting purposes. The vendor should provide you with their federal ID number.
This number will print on the 1099 forms.
Default Type
You can set a default for a pay type for vendors if you like. Select from one of the following pay types:
• Non 1099 Payments
• Rents
• Royalties
• Other Income
• Fed. Income Tax Withheld
• Fishing Boat Proceeds
• Medical/Health Payments
• Non-Employee Compensation
• Substitute Payments
• Crop Insurance Proceeds
• Excess Golden Parachute
• Gross Proceeds to Attorney
• Section 409A Deferrals
• Nonqualified Deferred Compensation
• Fish Purchased for Resale
When you enter bills for vendors, you will be able to specify at that time the 1099 type for that particular bill.
Payer made direct sales of $5,000 or more of consumer products to a buyer (recipient) for resale
You can set a default to indicate that you made direct sales of $5,000 or more by reselling vendors consumer products; however, it is unlikely that this would apply to most of your vendors. This will select Box 9 on the 1099-MISC form for any vendors for whom you have selected this option.
FATCA (Foreign Account Tax Compliance Act) Filing Requirement
For information about this check box and whether you should select it, see the IRS instructions for Form 1099-MISC.
1099 Type / Current Year / Last Year Grid
This grid shows the total amounts for each type of 1099 payment, as well as non 1099 payments, for both the current year and last year. The amounts in the Current Year column cannot be changed, but the amounts in the Last Year column can. You can enter amounts to set defaults in the Last Year column; however, it is unlikely that this would apply to most of your vendors.
Published date: 12/03/2021