Skip to main content
S
susanzuca
January 23, 2025
Question

contractor payments not showing in 1099

  • January 23, 2025
  • 1 reply
  • 0 views

I'm trying to file my 1099s.  My contractors are all set up to track for 1099, they were paid well over $600, the G/L accounts are set up in the account mapping, they were paid via ACH and the transactions were uploaded from a bank file to Quickbooks as expenses.  Some of the contractors are producing a 1099 while others are showing under limit when they clearly are not.  Help!

1 reply

J
JayneusCaesarR
January 23, 2025

To ensure all your 1099 filings are accurate, Susan, let me help you sort this out smoothly.

 

You have mentioned that your contractors are eligible for 1099 reporting because they meet the criteria that payments were exceeded the $600 minimum threshold.

 

Please note that payments made via credit cards, debit cards, gift cards, or third-party processors like PayPal are not included in 1099 reports and will automatically excluded by QuickBooks Online (QBO). This is because the financial institutions take on the responsibility of reporting these payments, sparing you the hassle of doing it yourself. This ensures that all transactions are accurately documented without requiring any effort on your part.

 

For more details which payment should be excluded, please refer to this article: Understand which payments are excluded from a 1099-NEC and 1099-MISC.

 

Additionally, I have included these articles to help you learn more about preparing and filing 1099 forms in QBO:

 

 

Furthermore, consider Explore QuickBooks Payroll for efficient management of your taxes and forms. With QuickBooks Payroll, our team will take care of your paperwork and ensure compliance with all regulations.

 

Feel free to reach out if you have any further questions or need more assistance with your 1099 forms. We're here to ensure that everything is well-aligned for your tax filings.

    S
    susanzucaAuthor
    January 23, 2025

    As I mentioned they were all paid via ACH

    FishingForAnswers
    FishingForAnswers
    January 23, 2025

    @susanzuca  Most likely, when the transactions were uploaded, the ACH were classed as debit card payments by QB.

     

    The issue is that debit card payments do fall under the 1099-K umbrella.

     

    For instance, in QB Desktop, if you were to put 'Debit' in the check number field, it would automatically exclude the transaction from the 1099-NEC or 1099-MISC.

     

    I don't know exactly what the QBO equivalent would be, but I'm certain that there is some way to flag particular Expenses by payment type for this very reason.

     

    A good first step would be to check exactly how these ACH transactions for the problem vendors were finalized after the upload.

      Terms & ConditionsAccessibility statement