How to create and file 1099s in QuickBooks Online

[0:00] Hi, this is Katheryn from the QuickBooks team. QuickBooks can help you create 1099s and send them to your contractors and e-file them with the IRS. Let's go over how to prepare and e-file 1099s after January 1st. Note that 1099s are due to contractors by January 31st. For filing due dates and guidelines, visit irs. gov. To start creating 1099s, go to expenses, then 1099s.

[0:33] Select prepare 1099s If you see that option. You can choose to let QuickBooks auto prep your forms or prep your own forms manually via QuickBooks. Both options will let you e-file through QuickBooks in the end. For now, let's choose to prep your own via QuickBooks. Review your company info. If you need to make any changes, select Edit.

[0:59] When you finish reviewing your info, select Confirm info and start filing. Here, you select the accounts you used to categorize transactions with 1099 vendors that you want to include on the 1099 form you send to them. Note that if you have previously mapped accounts, you'll see your accounts and boxes listed. For this example, you'll see how to map from the beginning.

[1:24] If you aren't sure what accounts you used, or you'd like to see a list of all the payments you've made to 1099 vendors, use these links to view detailed reports. To select accounts, select the accounts you used to categorize transactions with 1099 vendors, and you want to include on the 1099 forms you send.

[1:46] Note if you have contractor payments or Payroll without a QuickBooks accounting subscription, you'll see two accounts. Contractor payments or contractor reimbursements. Select add. For each account, select the dropdown and choose the box it relates to on the 1099 form. QuickBooks will calculate how much you paid the vendor using an account and put that amount into the box you select.

[2:12] You can map multiple accounts to the same 1099 box. When you're done, select next. On the Tracked for 1099 tab, you'll see vendors that are tagged as 1099 vendors and have reportable income. If you need to make changes to a vendor's info, select Edit. Review the reportable total column. These are the amounts you'll report on the 1099-NEC or MISC forms.

[2:40] To see payments not included, change the view to Non-reportable payments only. Review the tooltip for more details about what is included. If you want to see a report of the transactions for that specific vendor, select the total amount. If you're missing a vendor on your tract for 1099 list, select the Not tracked for 1099 tab.

[3:03] Select Add to tracked list, then go back to the Tracked for 1099 tab to see them. Select next. Now you can preview your finished forms. First you'll see your NECs. Review each 1099 box amount here, or select preview to see a preview of the 1099. Select continue to 1099 MISCs. Review each box here also. Note you may need to scroll to see the preview option. Select next.

[3:35] Next, you'll see the state filing requirements based on your 1099 vendor's addresses. If your vendors live in states that participate in combined federal and state filing, you'll see the states listed here and won't need to perform any extra steps after filing.

[3:51] Some states require a direct state filing, though, so you'll need to file a federal 1099 first and then receive information on how to complete the additional state filing steps after you file. Select next. Now you're ready to file your 1099s. Depending on your subscription, you may see an option to print and mail copies of 1099s to your vendors.

[4:14] QuickBooks will e-file your 1099s and keep you up to date on their status. Confirm your billing information, and when everything looks right, select Purchase and e-file. After you e-file QuickBooks, emails your 1099 vendors an invite so they can download their 1099. And that's it. Your 1099s are complete.

[4:36] Select go to 1099 filings to see a list of your 1099s, and to check for contractors who live in states with additional filing requirements. Now you're ready to create 1099s for your contractors in QuickBooks online.