Everyone's Favorite Tax Form
We know 1099’s are your favorite. You LOVE sending them and you LOVE receiving them. While we share your great affection for these pesky little documents, they are very important and they are required by the IRS.
Here are some tips to help you keep track of information related to FORMS 1099 all year so that your January rush to file them is less stressful:
Have all your applicable vendors fill out a FORM W-9 prior to paying them for services. It may be that you do not end-up paying them enough during the year to meet the filing requirement for a 1099, but just in case you do; you have all the information you need and will not be chasing them back down months later.
Keep good records of your payments for services. Knowing exactly how much you paid someone for services in a calendar year will save you a ton of time calculating those for whom you should prepare a 1099.
If you use QuickBooks (online or desktop) enter ALL the vendor information from the W-9 in your QuickBooks software and make sure your payments are posted to an account that is properly mapped for 1099 preparation. If you have questions or need assistance in making sure this is done correctly, please call us. We would LOVE to help you get this fixed before year end so you are ready to roll when January begins.