DBA 1099
The DBA 1099 field in Vendor and Owner Maintenance has
been modified. Anything entered in the DBA 1099 field
will be used as the name on all 1099 processes with the
name field printed below it.
Example Vendor Maintenance:
Name: Joe’s Wreckers
DBA 1099: Joe Smith
Printed on 1099s as
Joe Smith
dba Joe’s Wreckers
This allows you to use the name by which you know the
company for search purposes and check printing, but have
the 1099s use the name associated with the federal id.
If the DBA 1099 field is left blank, the name field in
the Vendor or Owner Maintenance will be used for 1099s.
Hottest FAQ about 1099s
Q: What's the difference between "Print Non-qualifying
Amounts?" and "Print Non-flagged Vendors?"
on the Vendor 1099 Proof Report?
A: Printing all “non-qualifying amounts”
will print all amounts . . . regardless of the minimum
you have set on the 1099 run. Printing “Non-flagged
vendors” will print all vendors . . . regardless
of the flag in the master file for "Send-1099:"
Q: What if I void a 2007 check in 2008, after I have
already sent out 1099s?
A: When the 2007 check was voided, OGSYS updated the
1099 file for 2007, which you will not see unless you
decide to re-run your 2007 1099s. What happens in 2008
depends on whether you re-issue the check. If you issue
it with a 2008 date, OGSYS will update the 1099 file for
2008, so that the amount is reported for 2008. If this
is not the desired result, you can adjust the 1099 amount
using the adjustment entry screens.
Q: When I start to close January 2008 for Revenue,
OGSYS indicates it will purge prior year’s 1099
information. Does this mean for 2007?
A: Yes. OGSYS purges the prior year's 1099 information
with the January Revenue Close. Make sure you have a year-end
backup before proceeding.
Q: Does the system allow me to print 1099s more than
once?
A: Yes. You may print 1099s repeatedly until the information
is purged. OGSYS does not purge 1099 information until
the 1099s have been printed after the December month has
been closed for that module.
Q: OGSYS says I didn't print 1099s for last year,
but I did. What does this mean?
A: Run the December close prior to the final 1099 run.
If 1099s are run prior to the December close (not after),
OGSYS does not recognize the 1099 run as an "official"
run. Therefore, it does not purge the information for
that year and could blend it into the next year.
Q: Can I run electronic 1099s more than once?
A: Yes. You may generate electronic 1099s as many times
as necessary until the information is purged. Make sure
you generate 1099 information to an electronic file before
closing January for the module.
Q: Which address box do I use for 1099s?
A: 1099 forms take the address from the default screen
of the master file record. Electronic and substitute 1099
forms also take the address from the first screen.
Q: How do I get Vendor 1099s to print in the "Rentals"
box?
A: By default, Vendor 1099s print in Box 7 (the non-employee
compensation box). However, it is possible to choose the
payment type, and therefore the box for a vendor's 1099
amount. Vendor maintenance allows you to choose from the
following payment types: 1 – Rents, 2 – Royalties,
3 – Other Income, 6 – Medical Payments, 7
– Non-employee Compensation, and 14 – Gross
Attorney Fees.
Q: What are substitute 1099s?
A: The IRS gives you the option to send substitute 1099
rather than the standard 1099 for Owners/Vendors. If you
file electronically, the substitute form is the way to
go. Send the electronic file to the IRS, then print substitute
1099s to send to the Owners/Vendors. A side benefit is,
you don't have to buy the standard 1099 forms. NOTE: Do
not send substitute forms to the IRS. You will be charged
a penalty fee for filing incorrectly.
Q: The 1099s for electronic ask the question, "Prior
Filing Year?" Does this mean I can run 1099s for
2006?
A: Under normal processing, you would not be able to
print 1099s for 2006 now, since that information was purged
in January 2007. This field is part of the record layout
for electronic 1099s, so it must be included here. To
answer "Yes" in this field, you would have to
take extra steps to ensure that the data is available.
Q: May I select and sort by vendor/owner codes for
1099s?
A: Yes. You have entity selecting and sorting capabilities
for all 1099 processes.
Q: I need a list of all the vendors/owners with no
federal ID. How do I get it?
A: You may select and sort by a federal ID number any
place where you have entity selection capabilities, including
all the 1099 processes and entity listings. When you sort
by federal ID, it places all vendors/owners without an
ID at the beginning of the report. The federal ID also
prints on the brief entity listing.
A Timely Refresher — 1099 Procedures
1099s and 1099 balances are integral parts of OGSYS.
Enter balances only during installation, as OGSYS maintains
1099 information automatically. OGSYS provides 1099 updates
as a normal part of the support services. The system supports
1099 forms, electronic 1099 reporting, and substitute
1099 forms. Make sure you have loaded the latest release
(either 1.8, 2.0, 2.1 or 2.2) and service pack for current
1099 programs. Remember, the IRS will not return problem
files. Keep a copy of the 1099 files you submit to the
IRS.
Five Rules for Processing 1099s
1. Always run an Accounts Payable Close Month for December
before printing Vendor 1099s for a year. Always run a
Revenue Close Month for December before printing Owner
1099s for a year. Always run a Lease Records Close Month
for December before printing Land-Owner 1099s for a year.
You may print the 1099 Proof Reports at any time during
the year.
2. Print the 1099 Proof Report to verify 1099 amounts
and which entities should receive a 1099.
3. You may adjust 1099 amounts. For vendor 1099 adjustments
use the Vendor 1099-History Entry function from the Vendor
History/1099s Menu. OGSYS will display a screen showing
the check detail total and the 1099-history amount. The
sum of these two figures is equal to the amount that will
be printed on the 1099 form. To make adjustments to a
Vendor's 1099 amount, increase or decrease the 1099-history
amount as needed. This is a replacement amount, and it
will be added to the check detail total to give you the
actual 1099 amount.
For Owner 1099 adjustments, use the 1099 Adjustment Entry
function from the Owner 1099s/Balances menu. Enter adjustments
as replacement amounts in the appropriate fields.
For Land-Owner 1099 adjustments, use the Land-owner 1099-History
Entry screen on the Lease-records Maintenance menu. Enter
the adjustment as a replacement amount in the appropriate
field.
4. Always verify 1099 amounts for at least one vendor/owner
prior to mailing 1099s.
5. If December Close Month is not run prior to printing
1099s, subsequent years' 1099s will include amounts from
the prior year. To correct, reprint 1099s for the prior
year, and run the module Close Month for December of the
current year.
NOTE: OGSYS includes items netted within the current
1099 calendar year in that year's 1099 amounts. Therefore,
do not run the cross-clear program using a December voucher
date, unless the items being netted are to be included
in the current year's 1099s. Items to be included in the
next year's 1099 must have a January-or-later voucher
date.
Substitute 1099s are available for Vendor 1099s, Owner
Royalty 1099s and Land-owner 1099s. Use these substitute
forms to mail to the Vendors/Owners. These forms are not
intended for the IRS. You will see Substitute 1099s in
each respective 1099s menu.
Waltz through Year-end with Fewer Problems
