1099 Report

A 1099 Report is used to track payments made to independent contractors, vendors, or non-employees for services rendered during a tax year. It is primarily used in the United States to prepare and file Form 1099-NEC (Nonemployee Compensation) or Form 1099-MISC (Miscellaneous Income) with the IRS.

In this article we will go through the basics of using the 1099 Report.

Tag 1099 Vendors

To flag vendors as 1099 eligible, navigate to the vendor profile and locate the Tax ID and 1099-Eligible checkbox.

In order for a vendor to display on the 1099 Report, then the 1099-Eligible check box must be selected. The Tax ID is optional.

1099 Report

The 1099 Report includes two methods available:

• Cash Method which displays all cash payments to Vendors which are 1099-Eligible

• Accrual Method would show all Bills, Charges, and Quick Entries to Vendors which are 1099-Eligible regardless of payment was made.

Credit Card Transactions

The Rillet 1099 report automatically excludes transactions paid by credit card accounts. Typically these types of transactions are reported by the credit card company and therefore are not filed by the company.