Subcontractor Expenses

Anyone??

Let me help you review the contractor payments posted to the correct account for 1099 reporting and taxes, Kkastelic.

You can create either a bill or check transactions to post it on the subcontractor account for 1099 reporting and taxes. Then, QuickBooks uses the expense accounts you mapped to report 1099 transactions. We can review the contractor payment transactions and accounts associated with them. Here's how:

1. Go to Reports (Take me there).
2. Enter Transaction List in the search bar, then select Transaction List by Vendor.
3. Click Customize.
4. Set the Report period to Last Year (or Last Calendar Year).
5. Go to the Rows/Columns section. Choose the Change columns link then put a checkmark on the Split box.
6. Go to the Filter section.
7. Check the Vendor box, and from the dropdown, choose 1099 vendors who are in question.
8. Press Run report.
9. Look under the Splits column for what accounts the vendor's transactions were tied to. If you see the word "SPLIT," select the transaction to see details on what accounts were affected. If this is a Bill Payment, access the Bill to see what expense accounts were affected.

If you need to fix some issues with 1099 data, you can click this article: Fix missing contractors or wrong amounts on 1099s. Also, QuickBooks Online (QBO) is compliant with the IRS in tracking 1099. It doesn't allow certain electronic payments to be reported on Form 1099-MISC or 1099-NEC. These payments include credit cards, debit cards, gift cards, or PayPal payments. Thus, QuickBooks Contractor Payments automatically excludes these for you. 

Here are some resources that you might need for additional information about managing 1099s:

• Common questions about 1099s
• Prepare and file 1099s
• Create a 1099 report for vendors and vendor payments

I'm always around if you need further assistance with managing your 1099 transactions. It's my pleasure to help.