Submit the 1099 Electronic Media report to generate your summarized 1099 information in electronic format as required by the Internal Revenue Service. You can create this file in a format to either send electronically or store on a diskette or magnetic tape to send to the Internal Revenue Service. The IRS requires electronic filing in one of these formats if you need to submit 250 or more records for your 1099 reporting. You must report 1099 information for each tax reporting entity you define for your organization, so the 250 record requirement is applicable to each tax reporting entity.
If you enable the Combined Filing Payables option, Payables produces K records for all tax regions (or states) participating in the Combined Filing Program that have qualifying payments. Payables also produces B records for suppliers with 1099 payment amounts which equal or exceed the tax region's reporting limit in qualifying states. Payables produces these records when you submit the 1099 Electronic Media report.
Refer to federal or state tax publications to obtain information regarding the 1099 reporting requirements for each participating tax region. For example, you may need to enter the reporting limits for each income tax region in the Income Tax Regions window.
Payables provides a total for the payments in the B record for each payee.
If this report encounters any of the following exceptions it will stop and report the error on the output:
Non-Standard TIN
Null Address Element
Null Foreign Address
Null State
Null TIN
If the report encounters a Negative MISC Total then it will stop and report this in the log file.
Be sure to review the 1099 Supplier Exceptions report and 1099 Invoice Exceptions report to identify and fix all errors before you submit the 1099 Electronic Media.
Prerequisite
The Tax Reporting Entity must have a nine digit TIN or the program will fail. You assign a TIN to a tax entity in the Reporting Entities window. See: Reporting Entities.
Submit the 1099 Invoice Exceptions report and the 1099 Supplier Exceptions report. Review the report output and make any necessary corrections. See: 1099 Invoice Exceptions Report, and 1099 Supplier Exceptions Report.
You submit this report from the Submit Request window. See: Submitting Standard Reports, Programs, and Listings.
Control Name. Enter your Payer Name Control. You can obtain the 4-character Payer Name Control from the mail label on the Package 1099 that is mailed to most payers on record each December. It is typically the first 4 characters of your tax reporting entity name.
Control Code. Enter your 5-digit Transmitter Control Code (TCC). You can file form 4419 to receive a control code from the Internal Revenue Service.
Tax Reporting Entity. The name of the tax reporting entity for which you want to submit the 1099 Electronic Media report.
Media Type.
3 1/2" Diskette. Payables formats your 1099 data so that you can record it on a diskette.
Electronic File. Payables formats your 1099 data so that you can transmit an electronic file to the IRS.
Magnetic Tape. Payables formats your 1099 data so that you can record it on magnetic tape.
Test Submission. Enter Yes if you are submitting a test 1099 Electronic Media report to the Internal Revenue Service.
Foreign Corporation. Enter Yes if your organization is a foreign tax reporting entity as recognized by the Internal Revenue Service.
Last Year Filing. Enter Yes if due to merger, bankruptcy, etc., this will be the last year that this tax reporting entity will be filing.
Payer Name Source. The source from which Payables obtains the payer name for 1099 payments displayed on this report.
Address. Address line 1 for the address entered in the Location window.
Location. Location Name entered in the Location window.
Tax Entity. Entity Name entered in the Reporting Entity window.
Contact Telephone Number. The telephone number that will be included in the 1099 Electronic Media report.
Contact Name. The Contact name to include on the 1099 Electronic Media report.
Contact E-mail. Complete e-mail address of the person in your enterprise to contact regarding electronic or magnetic files sent to the Internal Revenue Service. This will be included on the 1099 Electronic Media report.
File Indicator. Choose one of the following file indicators that will be included in the 1099 Electronic Media report:
C. Correction file
O. Original file
R. Replacement file
Original File. If you are submitting a replacement file, you must select one of the following options:
M. Original file was on magnetic media
E. Original file was electronic
Replacement Alpha Character. Enter a value only if the IRS/MCC returned your file due to processing problems and you are generating a replacement file. Enter the alphanumeric character that appears immediately following the TCC number on the Media Tracking Slip (Form 9267) that the IRS/MCC sent with your returned media.
You must enter a value if your File Indicator is R (Replacement) and if the Original File and Media Type are not both Electronic.
Electronic File Name. If this is a replacement file then enter the file name that was assigned by the IRS electronic FIRE system (for example, 12345p01.DAT). If this is an original or correction file, enter blanks.
Federal Reporting Limit. The minimum amount for which you want to report 1099 payments to your suppliers.