1099 Vendor Tracking and Filing
The IRS requires you to file 1099s for certain vendors. Navigating this requirement and trying to stay compliant can be confusing and missteps come with large fines. We help you collect vendor information, track which vendors require a 1099, and file them in a timely manner.
Certain vendors providing services to your business need to be issued 1099s. In order to issue 1099s you need information from the vendor and to keep track of all payments issued to them along with the methods of payment. We take care of this for you with our 1099 Vendor Tracking and Filing Service. You can add this service to your monthly bookkeeping, we track the payments to each vendor and help you collect the information you need for each vendor to stay compliant. If you have a vendor that refuses to provide information we help you navigate the legal requirements. After your year end books are finalized we issue 1099s on your behalf and file them with the IRS. These 1099s are included with your tax information so your tax accountant has a record in the event they are requested by the IRS.
How It Works
We set up vendor tracking with your accounting program. When we determine your vendor is likely to reach the threshold for 1099 filing we collect their email address from you if we don't already have it.
We electronically request a W9 from the vendor. This stays on file for the current and future years.
At year end we send over a 1099 list for you to confirm with your final books.
Once received we file the 1099 with the IRS and send an electronic version to the vendor. If we are unable to electronically reach the vendor we will let you know so that you can either mail a physical copy or have us mail a physical copy for an additional fee.