Methods for 1099 Processing

You can process 1099 returns using one of these methods:

Accounts payable (A/P) ledger.
General ledger (G/L) method.
Combination of the A/P ledger and G/L methods.

Before you begin processing 1099 returns, you must decide whether you will use a specific method or a combination of methods.

This table describes the differences between the A/P ledger and the G/L methods:

A/P Ledger Method	G/L Method
Preferred method if you have data for a partial year or if you have data from another system.	Preferred method if you have data for most or all of the calendar year and a stable chart of accounts.
Uses information stored in these tables: Accounts Payable Ledger (F0411) Accounts Payable - Matching Document (F0413) Accounts Payable Matching Document Detail (F0414)	Uses information stored in these tables: Account Ledger (F0911) Purchase Order Receiver File (F43121) Accounts Payable - Matching Document (F0413) Accounts Payable Matching Document Detail (F0414)
Creates the 1099 A/P Worktable (F045143) early in the process.	Creates the 1099 G/L Worktable (F045141) at the end of the process.
Uses the 1099 flag or category code 07.	Uses PX AAIs.
Does not provide an audit trail of adjustments that you make to the F045143 table.	Provides an audit trail of adjustments that you make to the F0911 table.

The Supplier Analysis report (R04602) lists suppliers with vouchers written during the calendar year. You can use the information in this report as an early indicator of the number of suppliers that might receive 1099 forms.