MA State 1099 filing

Converting 1099 PDFs generated by QuickBooks into the specific text format required by the MA Tax Connect site can be challenging. Let me share helpful information on this process and how to find a suitable third-party app, @AL_Consulting.

Currently, converting QuickBooks PDF documents into a text format accepted by the MA Tax Connect website is unavailable.

To resolve this, consider exploring specialized software designed for this type of conversion. As for 3rd party software, there are various options available, but we cannot recommend any specific one. You may want to research and read reviews to find the best fit for your needs.

You can follow this quick guide on how to find a third-party app that suits you:

1. Open the QuickBooks Online App Store.
2. In the search bar, enter keywords like Converter.
3. Hit the magnifying glass to start your search, and then browse through the apps to find one that fits your requirements.

If you continue to encounter difficulties, it can be beneficial to consult a tax professional who is well-versed in the electronic 1099 filing requirements for Massachusetts.

Additionally, you might want to check out this article to learn how to fix and resubmit 1099-NEC or 1099-MISC forms rejected by the IRS: Fix rejected 1099 forms.

You can notify us if you have further concerns about filing your 1099 to your state agency by clicking the reply button below. We’re here to ensure everything goes as smoothly as possible, @AL_Consulting.

Warning to others who have MA 1099s and use QB to file - DO NOT.

QuickBooks can file your taxes with the IRS but they will only provide you with a PDF copy which can NOT be uploaded or submitted through MA Tax Connect. They will not provide you with the IRS text file (which is compatible) to use. If you have more than 50 form 1099s that you file you will have no way to file with MA. If you have less than 50 forms 1099s you can mail them in but you risk mailing documents which include SS #s.

This is crazy there has to be a better way

To make matters worse, if despite the SSN risk you still want to paper file, the Massachusetts DOR website has ambiguous instructions for paper filing. Do you just stick the 1099-NEC in an envelope and mail it in? If you want to attempt e-filing and wish to log-in to the Mass Tax Connect website, it appears that you have to go through a "register my business" in Massachusetts workflow. There is also mention on the website about a requirement to file an "annual report" but no guidance on how to do this if using the paper process. It's a mess.

If the good people working on QuickBooks could find a way to work with Massachusetts to integrate e-filing into QBO, like many other states, that would be very helpful.

You are 100% correct - there is zero helpful information on the MA DOR website on exactly how to file by mail.  After multiple calls to the MA DOR (all with conflicting info) here is some additional info:

(1) You do have to register on MA Tax Connect but you will still need to upload a text file. Which means figuring out each of the characters needed using the IRS Form 1099 text format specifications. [Even the DOR told me it would take me hours, if not days, to try and attempt.]

(2) The annual report they want you to file with your mailed in copies is form 1096. After explaining multiple times that when you e-file your 1099s you don't prepare a 1096 they agreed the summary 1099 report out of QuickBooks would suffice. What they are looking for is the number of 1099s filed, amounts etc.. Essentially a cover page for what you are sending them.

(3) Also not on the DOR site - you ONLY need to mail them the 1099s for MA residents and you only need to mail the state copy.

Next year if QB will not file with MA or provide the text file I will be using a different method to e-file. 

You are 100% correct - there is zero helpful information on the MA DOR website on exactly how to file by mail.  After multiple calls to the MA DOR (all with conflicting info) here is some additional info:

(1) You do have to register on MA Tax Connect but you will still need to upload a text file. 

(2) The annual report they want you to file with your mailed in copies is form 1096. After explaining multiple times that when you e-file your 1099s you don't prepare a 1096 they agreed the summary 1099 report out of QuickBooks would suffice. What they are looking for is the number of 1099s filed, amounts etc.. Essentially a cover page for what you are sending them.

(3) Also not on the DOR site - you ONLY need to mail them the 1099s for MA residents and you only need to mail the state copy.

This is very helpful. Thank you @AL_Consulting 

I am seeing the same problems with MA filing through QBO.  Actually, the 1099 functionality in QBO has always been a problem. This may be my last year using it as well.  I do have a back-up. eFileMyForms.com.  The price is about the same, if not a bit less, and it is pretty easy to work with.  Good luck!!

How can Intuit charge for 1099 filing, make a big deal about ensuring compliance with the state filing guidelines, and then NOT OFFERING the proper file format to complete the task! Rip off and totally irresponsible. MA just likes to make things complicated, that's for sure, but we pay good money to Intuit to provide software that gets our jobs DONE!!! So disappointed and I'm already doing demos with different software providers. Many years with Quickbooks down the drain--BYE QB! You lost a customer because of this.

The better way is NOT to use QB Desktop or Online for payroll or to pay your 1099 Employees or Contractors. I moved my clients to SurePayroll. Better service and better pricing. Plus.... they file with every state!