Form 1099 NEC and backing up

Good to see you here in the Community, Pam.

Backups are necessary to save your file before making any changes. However, if it keeps on asking you to backup the file after doing it, there might be data issues within the company file you're working with.

I've tried preparing the 1099s on the sample file, and it works seamlessly. To isolate the issue you're having, we can start by running the Verify and Rebuild tool. The process self-identifies and resolves the most commonly known data and integrity issues within your file.

Here's how:

1. Go to the File menu, then select Utilities.
2. Tap on Verify Data.
3. If there are errors detected, tap the File menu again.
4. Select Utilities, then Rebuild Data.

After that, I also recommend updating your QuickBooks Desktop to the latest release to have up-to-date features and fixes. You can open this link for your reference: Update QuickBooks Desktop to the latest release.

Once done, you proceed with running your 1099 forms in QuickBooks. See the steps below:

1. Create your 1099s in QuickBooks.
2. Select the Print 1099-NEC or Print 1099-MISC button from the Choose a filing method window.
3. Specify the date range for the forms, then select OK.
4. Choose all contractors you want to print 1099s for.
5. Click Print 1099.
6. Confirm your printer setting and select Print.

You can visit this write-up to know more about the new 1099-NEC form as well as a link on how to file them in QuickBooks: Understanding payment categories for the 1099-MISC and 1099-NEC.

The Community forum is always open to help you again if you need further assistance. Have a good one.

I agree. It's the goofiest thing I've seen in awhile.  No other tax form requires it.

I think Intuit decided to do this because the 1099 setup interview can be very data destructive. Things you do there impact your data immediately in some cases.  For example, if you change the 1099 eligibility of your vendors by clicking mark all or any other way, they're actually changed in real time! And you have no way to undo that and go back to the prior state where only the appropriate vendors are checked for 1099's. Instead of fixing such a design flaw they came up with forcing a backup, assuming you'll figure out you screwed up your data and restore the backup and then everything will be peachy again.