1. 1099 Year-End Processing Guide
  2. G/L Method AAIs

G/L Method AAIs

The G/L method uses AAIs to determine G/L account number ranges for 1099 processing. AAI item PXxxxx specifies the object accounts and object account ranges that are used for 1099 processing. You set up these AAI items to connect the chart of accounts to the corresponding IRS form and box.

AAI item PXxxxx consists of six characters. This table describes these characters:

Character

Description

1 and 2

Defines the AAI as a 1099 item. This value is always PX.

3

Defines the type of 1099 form. The system uses A, 1, 6, and B in the third position to identify the forms as follows:

PXAxxx for 1099-MISC form

PX1xxx for 1099-DIV form

PX6xxx for 1099-INT form

PXBxxx for 1099-NEC form

4

Defines which box to use on the 1099 form. For example, PXA1xx is associated with box 1 on the 1099-MISC form, PXA2xx is associated with box 2, and so on.

5 and 6

Defines the beginning and end of a range of object accounts. You use pairs of AAI items for each range. Odd numbers indicate the beginning of a range, and even numbers indicate the end of a range.

For example, PXA101 defines the beginning of the first range of accounts to be used for box 1 of the 1099-MISC form, and PXA102 defines the end of the range for box 1 of the 1099-MISC form.

Observe these guidelines when you set up object account ranges for AAI item PXxxxx:

  • Set up AAIs for company 00000 only. Leave the business unit field blank. Specifying the business unit might produce undesirable results. For example, an amount might be omitted from processing. AAI item PXxxxx is not company-specific; therefore, the chart of accounts must be consistent among company 00000 and other companies.

  • Use odd numbers to specify the beginning of a range and even numbers to specify the end of a range (for example, 01–02, 03–04, and so on).

  • Do not use the same accounts for two ranges.

  • Do not overlap ranges. For example, do not set up 01–02 and 02–03.

  • Do not skip ranges. For example, do not use 01–02 and 05–06 without also using 03–04.

  • Enter both the object and subsidiary for the end of the range.

    Depending on the operating system, use either ZZZZZZZZZ or 999999999 for the subsidiary; do not use both interchangeably. Consult the system administrator for details.

  • Do not set up more than 49 ranges for each box on a 1099 form.

  • Delete any unused 1099 ranges by deleting the entire AAI item.

  • Do not specify object accounts for cash accounts, received and not vouchered accounts, A/P trade accounts, or A/R trade accounts.

AAIs are stored in the Automatic Accounting Instructions Master table (F0012).