Contents

• Title and Copyright Information
• Preface

1 2024 1099 Year-End Processing Overview

• Release Levels for 1099 Processing
• Preparing for 1099 Processing
• Ledger Methods for 1099 Processing
  • 1099 A/P Ledger Method
  • 1099 G/L Method
  • Combination of 1099 A/P Ledger and 1099 G/L Methods

2 Setup Supplier and Company

• Understanding Supplier Setup Requirements
  • Understanding the IRS Mailing Address Requirements
  • Understanding the Legal Name and Person/Corporation Code
  • Understanding the Mailing Addresses
  • Understanding the TIN
• Setting Up Suppliers
  • Before You Begin
  • Updating 1099 Information for Suppliers
  • Updating 1099 Information for One-Time Payment (OTP) Suppliers
  • Identifying Foreign Suppliers
  • Identifying Suppliers with Backup Withholding
    • Setting Processing Options
    • Setting Data Selection
  • Updating the 2nd TIN and FATCA Fields for Suppliers
• Setting Up Companies
  • Updating Company Records
  • Updating Company Address Book Information
  • Managing Companies that Pay within Legal Entities
• Combining 1099 Information Among Suppliers and Companies
  • Assigning the Related Code for Combining
  • Setting the Combining Processing Options in the 1099 Processing Option Setup Program
• Reviewing W-9 Reports
  • Reviewing the W-9 Exception Report
    • Processing Options
    • Data Selection
    • Example: W-9 Exception Report
  • Reviewing the W-9 Report with Tax ID
    • Processing Options
    • Data Selection
    • Example: W-9 Report with Tax ID
  • Reviewing the 1099 Company Set Up Report
    • Processing Options
    • Example: 1099 Company Set Up Report (P04510RP)

3 Setup the System for 1099

• Reviewing 1099 Processing Option Setup (P04510STUP)
  • Calendar Year
  • Data Specifics
  • Alternate/Related Address Combining
  • 1099 Misc, NEC, Interest, and Dividend Minimum Amounts
  • 1099 Misc Aggregate Minimum Amount
  • Processing Options
• Backing Up 1099 Workfiles
• Clearing and Purging 1099 Workfiles
  • Clearing the 1099 A/P and G/L Workfiles
    • Processing Options
  • Purging 1099 Adjustments
    • Processing Options

4 Using the A/P Ledger Method

• Reviewing 1099 UDCs
  • Reviewing the Type of Return UDC 04/TR
  • Copying the Values from UDC 04/TR to 01/07
• Assigning Category Code 07 Values to Supplier Address Book Records
  • Identifying for Blank Category 07 Values in Address Book
    • Data Selection
  • Manually Assigning Category Code 07 Values to Supplier Address Book Records
  • Globally Assigning Category Code 07 to Multiple Supplier Address Book Records
    • Processing Options
• Updating Voucher Pay Items for 1099 Processing
  • Running Update A/P Records with A/B Info (P04802)
    • Processing Options
  • Using the Voucher 1099 Info Update Program (P04125)
• Understanding Backup Withholding for the A/P Ledger Method
• Building the A/P Workfile (F045143)
  • Setting Up Versions of the Build A/P Workfile Program
    • Processing Options

5 Using the G/L Method

• Setting Up AAIs for the G/L Method
  • Setting Up Additional PX AAI Ranges
  • Examples: AAIs for the G/L Method
  • Relationship between AAIs and Boxes on the 1099 Forms
• Updating Information from the Account Master File
  • Processing Options
• Running the Audit File Close
  • Processing Options
• Creating the 1099 Audit File (F045144)
  • Received Not Vouchered Accounts
  • Purchase Card Transactions
  • Processing Options
  • Data Selection
• Reviewing the 1099 Audit File
  • Reviewing the Audit File Online
    • Processing Options
  • Reviewing the 1099 Audit Report
    • Data Selection
  • Reviewing the 1099 G/L Audit Register
    • Processing Options
• Entering Payment Adjustments
  • Processing Options
• Building the G/L Workfile (F045141)
  • Processing Options
  • Data Selection
  • Considerations for Backup Withholding

6 Review and Correct the 1099 Workfiles

• Running the Preview 1099 Media Report
  • Committee on Uniform Securities Identification (CUSIP) Information
  • Common Errors
  • Processing Options
• Updating the 1099 Workfiles
  • Refreshing Supplier/Company Information
    • Setting Processing Options
  • Processing 1099 Adjustments
    • Understanding Messages and Highlights on the 1099 Adjustments Screen
    • Understanding Detail Information on the 1099 Adjustments Screen
    • Reviewing and Changing Workfile Records
    • Adding Adjustment Records
    • Adding the CUSIP Number for Tax-Exempt Interest
    • Deleting Workfile or Adjustment Records
    • Correcting Submitted Returns
    • Setting Processing Options
  • Clearing and Rebuilding the A/P and G/L Workfiles
    • Clearing Workfiles Entirely
    • Clearing Workfiles Partially

7 Report Year-End Information on 1099s Returns

• Generating 1099 Returns
  • Minimum Amounts
  • Mailing Information
  • Foreign Suppliers
  • CUSIP Information
  • Write Media Options
  • Form Types
• Printing 1099 Forms and Reports
  • Setting Processing Options
• Adjusting the Print on the Forms
  • Troubleshooting
  • Setting Processing Options
• Filing 1099 Returns Electronically
  • Creating Combined Federal/State 1099 Returns
  • Generating 1099 Data for the 1099 Transmittal File
  • Verifying Records in the 1099 Transmittal File
  • Generating 1099 Transmittal File for Multiple Forms
  • Transferring the 1099 Transmittal file
  • Troubleshooting Electronic Media Record Issues
  • Exporting the F1099T Transmittal File
• Filing Corrected Returns
• Requirements for Retaining Information for the IRS

8 Processing Options

• Clear Entire A/P Workfile and Clear Entire G/L Workfile (J04CLRFP)
• Purge 1099 Adjustment File (P00PURGE)
• W-9 Exception Report (P01301)
• W-9 Report with Tax ID (P014032)
• 1099 Company Setup Report (P04510RP)
• Payment Details (P04424)
• 1099 Processing Option Setup (P04510STUP)
• Global Update Category Codes (P01490)
• Update A/P Records w/AB Info (P04802)
• Build A/P Workfile (P04514FP)
• Update BU.OBJ.SUB to Jrnl Entries (P09806)
• Audit File Close (P04514CMP)
• Create 1099 Audit File (P045144)
• Audit File Review (P045142)
• 1099 G/L Audit Register (P04514R2)
• Build G/L Workfile (P04514)
• Preview 1099 Media (P04512FP)
• 1099 Supplier/Company Refresh (P045190)
• 1099 Adjustments (P045101)
• Write Media (P04515)
• Create Custom Form (P045152)
• Export F1099T to IRSTAX.TXT (P045155)

9 Checklist for 1099 Processing

• Appendix A - Checklist for 1099 Processing

10 Appendix B - 1099 Files

• 1099 Processing Files
• Workfiles Generated During 1099 Processing

11 UDC Tables for 1099 Processing

• Appendix C - UDC Tables for 1099 Processing

12 Create 1099 Audit File Program Details

• Appendix D - Create 1099 Audit File Program Details

13 Appendix E - Individual Field Adjustment for Laser Forms

• Understanding the Individual Field Adjustments
• Updating the Source Code for Laser Forms

14 Appendix F - Importing 1099 Adjustments

• Working with the Template
• Importing the Data

15 Appendix G - Exporting the F1099T File

• Creating the IRSTAX.txt File
  • Processing Options

16 Appendix H - 1099 Sample Forms 2024

• 1099 - Miscellaneous Income (Updated for 1099)
• 1099 - Nonemployee Compensation
• 1099 - Dividends and Distributions (Updated for 1099)
• 1099 - Interest Income