Okay as promised this is the article for 1099-MISC utilizing QuickBooks 2012. Let me provide the steps first.

• Choose your 1099s distributors

• Confirm vendor data, i.e. that you’ve the proper handle and tax ID

• Map the accounts that you just used to pay your numerous 1099s distributors

• Evaluate your vendor funds. Starting in 2011 the IRS now requires you to EXclude any funds you made to your distributors by

• bank card

• debit card present card

• third-party fee networks comparable to PayPal.

• Affirm your 1099-MISC entries

• Select your submitting technique — printing types or E-filing

They’ve given the Wizard a facelift. However do not panic, the Wizard nonetheless walks you thru. The Wizard can be slightly completely different relying on whether or not that is the primary time you might be organising 1099’s in QuickBooks or for those who merely must evaluation and edit earlier than submitting. I’ll admit there have been a pair areas that threw me, however I’ll attempt to level these out to make it simpler for you 🙂

1 Evaluate your Vendor Checklist and choose all those that want 1099’s.

Do take the time to evaluation as a result of probably you’ve got picked up some new Distributors in 2011 and also you need to ensure that in the event that they want a 1099, that you’ve them marked appropriately. This routinely assumes final yr. Which is okay if it is 2012 and also you’re doing 2011 or it is 2013 and also you’re doing 2012. However, for those who’re attempting to evaluation earlier than year-end, then there are a pair different strategies I might suggest – I am going to spotlight one in every of them later on this article.

2 Ensure you have a Tax ID and full handle for every 1099 vendor

An Apart: When you have a big checklist of distributors, otherwise you’re engaged on names within the present yr, this is one other approach to confirm they’re marked 1099 eligible, you’ve got the Tax ID and handle. Click on on Lists>Add/Edit A number of Checklist Objects, then choose the seller checklist and customise the columns so all the suitable fields are simply seen and will be edited.

3 Map Vendor Cost Accounts

I’ll admit the mapping stage is what threw me essentially the most. By default, QuickBooks exhibits solely these accounts which can be mapped for 1099’s. If you have to evaluation or choose others, then you’ll be able to Present all accounts.

One other side that threw me, however maybe not you, is that when all of the accounts are proven, they’re listed alphabetically as a substitute of the standard accounting order within the Chart of Accounts. A few of you non- accountants might actually prefer it, however I’ll admit I didn’t!

The following half that threw me was the assertion, Your settings don’t match the present IRS thresholds. The repair is to click on on Present IRS thresholds, then click on on Reset.

4 IMPORTANT: This step is for the brand new IRS rules

Should you use bank cards or PayPal or another third get together community to pay a few of your distributors regularly or often then you really want to concentrate to this specific step.

Click on on View Included Funds and you will notice the funds made by checks.

Nonetheless a lot of you’ve got PayPal arrange as checking account in QuickBooks and while you make funds from PayPal then you might both have a PayPal transaction quantity for the examine quantity or you might have left it clean. What QuickBooks is telling you to do right here is to place the type of fee within the examine quantity.

Then while you click on on View Excluded Funds, you will see your debit playing cards, present playing cards, and PayPal. Bank cards do not present on this report since QuickBooks is well in a position to isolate these transactions.

5 Affirm your 1099 quantities

You’ll be able to take a look at different years, see a abstract or element report that will help you confirm these numbers.

6 Select your submitting technique – print or e-file

For you “old-timers” like me, this course of is completely different, however Intuit has actually tried arduous to make it as simple as doable. Let me know you probably have any questions or issues.