Hi,
Need expert help on US 1099 Tax reporting.
No data showing up in the print preview of the report though I have setup all the basic data. I have checked the tax transactions and found data are available for the reporting period. Any idea what’s need to check? Thanks in advance
Best answer by Nancy Fink
View originalHello
Follow the solution document for 1099. It shows the whole process.
Hope this helps
You ran the calculate income??
Is the trans code PP49?
You wouldn’t get it with the tax code of 10.
Did you manually create the 0 WTH tax code or was that created by the system when you either created a new company or ran the update company?
I’m assuming there is an income type on the transaction.
It would be better if you provided your test plan on how you set this up -- etc. and the complete details of the tax transation
Created another invocie.
I suspect creating the 0 WHT manually is your issue. This should be created by the application when creating a new company. If the company already existed w/o the 0 WHT then the update company should be used to create the 0 WHT.
Do you have another company you can test above in?
HI Polash,
Well… sorry - I am not sure what you did different between the different environments.
I would suggest a support case so we can review why when you run the calculate income it is not calculating anything.
Hi
i have another queston. If the invoice value is 10,000 and tax is 730. i am paying supplier 10,000 (Including Tax). Now in the report it is showing 9270. According to the customer it should pick payment amount 10,000.
Per: https://www.irs.gov/pub/irs-pdf/i1099mec.pdf
State or local sales taxes. If state or local sales taxes are imposed on the service provider and you (as the buyer) pay them to the service provider, report them on Form 1099-MISC as part of the reportable payment. However, if sales taxes are imposed on you (as the buyer) and collected from you by the service provider, do not report the sales taxes on Form 1099-MISC.
Per above -- since they are the buyer and sales tax is being charged (imposed) on them and the supplier is getting paid the sales tax -- then it should not be reported.
If you(customer) interpret this differently -- and or has documentation to state otherwise --then we IFS would need to get the US Country representative to review.
For 1099 NEC, They are saying tax should be included in the report (As they paid full amount). my question, is there any way to bring 10,000 in the income amount column instead of 9269.
Thanks a lot for your time and effort.
Have you gone to the tax ledger parameters and changed the tax base amount?
I have not tested as I have not heard of this requirement.
If below does not provide your results (NOTE: you would need a new invoice/paid after changing below) - then recommend you provide documentation on that requirement and log an idea so it can be reviewed if it is indeed a legal requirement.
Tax Base Amount:
Select the method for handling of tax base amount for partly deductible tax.
Original: The amount on which tax is imposed will be used.
Reduced: The amount will be used, but it will be adjusted in a way that the deductible tax amount as a percentage of the net amount is always equal to the specified tax percentage.
Cost: The difference between the gross amount and the deductible tax amount, that is the cost amount on relevant invoice line will be used.
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