1099 Instructions for REALedger 6.9-2020

In 2020, the Internal Revenue Service introduced a new form (1099-NEC) to report Non-Employee compensation. Details related to 1099 changes implemented by the Internal Revenue Service (IRS) can be viewed via Tax Year 2020 – Instructions for Forms 1099-MISC and 1099-NEC

Purchase Forms 1099-MISC & 1099-NEC from office supply store; choose forms that print two per page.

Note:  All vendor records default to 1099-MISC, you may edit this by selecting the correct form from the 1099 dropdown in the Vendor Master File. The options in this dropdown, are MISC and NEC.

If the vendor is required to receive a 1099, check the Print 1099? box to default each bill to 1099able.

All agent records default to 1099 NEC.

Before you can print 1099s you need to close the calendar year.  

Note: you must launch the application as the “master” user.

Click on the link below for instructions on how to close the calendar year.

https://help.emphasysre.com/article/yrend-6-9prior/

After closing the calendar year, go to Agents>>Reports>>Agent Earnings and Income>>1099s

On the General tab, the Enter Year End Date field should be the last day of the year.

Check the Combine Agent and Vendor 1099s for Same Tax ID? box

Select Type of Recipient to Include from the dropdown, Agents and Vendors is most commonly used.

Click Print Pre-1099 report.

Both 1099-MISC and 1099-NEC records will appear on the report

Print this report and verify that all 1099 recipients have a valid Tax ID Number and that totals are correct prior to printing 1099s.

If edits are needed, you will need to edit the 1099 data for agents by going to Agents>>Maintenance>>1099 Data.  To edit vendor 1099 data, go to AP>>Maintenance>>1099 data.  Be certain you make edits to the correct Calendar Year.

After making 1099 edits, Go to Agents>>Reports>>Agent Earnings and Income>>1099s

On the General tab, the Enter Year End Date field should be the last day of the year.

Check the Combine Agent and Vendor 1099s for Same Tax ID? box

Select Type of Recipient to Include from the dropdown, Agents and Vendors is most commonly used.

Click Print Pre-1099 report.

Both 1099-MISC and 1099- NEC records will appear on the report

Print this report and verify that all 1099 recipients have a valid Tax ID Number and that totals are correct prior to printing 1099s.

Select NEC from the Form dropdown

Click Print 1099’s

Check to see that all values print into each box correctly, either by printing to an actual 1099-NEC form or print to plain paper and hold up to actual form.

Edit Vertical, Horizontal, and Gap between upper and lower 1099 (inches) if needed, then click Print 1099s again.

1099s will print to screen.

Insert Copy A of the 1099-NEC forms into your printer.  You may want to print only one page to see if values print in each box correctly.

Repeat this process for Copy 1, Copy B, Copy 2, and Copy C.

Once the 1099-NEC forms are printed, repeat the above steps for printing 1099-MISC forms by selecting MISC from the Form dropdown.

If you are required to or choose to submit 1099s to the IRS electronically, you may be required to or choose to submit a test file to the IRS.  To create a test file, check the Is this a Test file only? box prior to clicking the Generate Magnetic Media button and click Yes on the pop-up. Make note of the path to the file and click OK.

If you are required to or choose to submit 1099s to the IRS electronically, click Generate Magnetic Media button and click Yes on the pop-up. Make note of the path to the file and click OK.

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