Payables can be excluded from being added in the 1099 calculations using the field: flag 1099 that exists on the Enter bills screen
Users can change the flag 1099 value without unposting the property or a payable. There are three ways of fixing the 1099 allocation for a payable voucher.
Modify the flag 1099 value when a payable amount should not be 1099'd or if the wrong person is being 1099'd for a certain tax amount
The first way is from the Bills menu.
- Click the Bills menu button at the top of your screen.
- On the Enter bills screen, click the search button
- Select the company from the drop down
- Enter a vendor using the magnifying glass
- Click search
On the voucher tab, change the flag1099 to either:
- No one needs a 1099 of this amount
-
This Agent paying the Vendor
- this option means that the payment came from an agent's commission and the agent who had this payment deducted should be paying the taxes on the amount paid
- upon selecting this flag, the system will ask the user to select the agent that should be 1099
Changing the 1099 Flag from the Batch
The second way to change the 1099 flag is from the 1099 batch.
- Click Ledger menu
- Click 1099 submenu
- Click open
- Select the company
- Select the year
- Select the 1099 batch
- Use the filter options to filter the data
- Click the amount to view the 1099 detail
- On the 1099 detail screen, scroll to the right side of the screen
- Click the dropdown menu for flag 1099
- Select the correct flag 1099 for this transaction
The third way to change the 1099 flag is by clicking the voucher id from the 1099 detail screen.
- On the 1099 batch screen, use the filter field to filter the data
- Click the amount to view the 1099 detail
- Click the voucher id to go to the Enter bills screen
- Click the dropdown option for flag1099
- Select the correct flag 1099 for this transaction
