How do you verify your 1099 accounts in QuickBooks?

Verifying your 1099 amounts:

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1. Go to the Reports menu, choose Vendors & Payables, and then click 1099 Summary. (You see the vendors you set up in QuickBooks as being eligible for 1099-related payments and the accounts you selected for tracking 1099-related payments.)

2. Click the third 1099 Options drop-down list at the top of the report and choose Use thresholds. (You should see all the vendors to whom you send 1099-MISC forms and all the accounts you use to track 1099-related payments. The report shows only amounts that are at or above the minimum threshold you must report to the IRS.)

3. Check the report and note each amount that seems too low.

4. Double-click any amount that seems too low. (A new report appears, listing the transactions contributing to that amount.)

5. In the new 1099 Detail Report, check for missing transactions. (If a transaction is missing from the list, you didn't assign the transaction to a 1099 account.)

6. To open the missing transaction, click the second 1099 Options drop-down list at the top of the report and choose All allowed accounts.

7. On the updated list of transactions, double-click the transaction you want to include in the 1099 total.

8. In the detail area of the transaction, select the 1099 account you use to track that type of expense.

9. Click OK, and then return to Step 4 to identify any other amounts that seem too low.

 

By using these steps you will be able to verify that your 1099 amount is accurate. If you have any questions, please contact our office.