1099 Extracts
- Former user (Deleted)
- Pat Zelei
- Former user (Deleted)
The 1099 Extracts program allows you to generate and print a 1099 report, generate the XML files or Printer/Sealer files for printing the MISC and NEC 1099 forms, generate the TAP submission files, the transmitter report if the district submits their own data, a PDF copy of the 1099 data, and Reference Copies for a specified year. These files will be sent to the Calendar Year Reports Archive when generated.
Users without the USAS_PRIVACY_TAXID permission, such as USAS_RO & USAS_REQ users, will not have the permission to see the 1099 Extract option on the Periodic menu.
1099 Extracts Options
1099 Extracts Menu | 1099 Extracts Menu Additional Options |
|---|---|
Displayed below are the menu options if the ITC is submitting 1099 data to the IRS electronically on the entity's behalf | Display below are the menu options if the entity is submitting their 1099 data to the IRS electronically themselves. |
Before generating the IRS Transmitter file for Correction type forms, the IRS Form 1099 Submission Configuration option "ITC Correction" under System>Configuration must be enabled and populated.
|
Before generating the IRS Transmitter file for any Submission Type, the IRS Form 1099 Submission Configuration option "District Will Submit 1099 File to IRS" under System>Configuration must be enabled and populated.
|
 |  |
Payment Year: Must be defined so system pulls the correct vendor YTD taxable amounts. The December posting period needs to be created before the current calendar year is available.
Type of Return: Can include one or both types with checkmark. TIP: If both are selected and are not generated, please check to see if pop-up blockers on your browser are preventing the files from being generated.
Output File Type:
IRS Format (TAP) is the output file used to generate the TAP file for IRS electronic submission.
XML Format (XML) is the output file used to generate the XML file often used by Third Party software to print the 1099s.
Reference Copies - when selected, the dropdown to choose the 1099 Copy will appear when the Payment year is 2020 and up.
1099 Copy - This box will only appear when the Output File Type of Reference Copy is selected & Payment year is 2020 or beyond.
Copy 1 - For State Tax Department
Copy 2 - Recipient's State Copy - This option includes the ability to truncate the TIN/EIN numbers.
Copy A - Internal Revenue Service Center copy
Copy B - For Recipient - This option includes the ability to truncate the TIN/EIN numbers.
Copy C - For Payer
Printer/Sealer Copies - A printable form that contains both Copy 2 and Copy B that will be provided to 1099 vendors. These are formatted to fit 8 1/2 X 11 Z-Fold forms only. When using this option, if both 1099-MISC and 1099-NEC are selected, the software will produce 2 separate output files for each form type. This option includes the ability to truncate the TIN/EIN numbers.
Truncate EIN/TIN: This option is only available for Copy 2, Copy B, and Printer/Sealer options for Recipient copies. When selected, the first five digits of the TIN (EIN or SSN) will be replaced with asterisks.
Vendor: Can select specific vendors to be included. If no vendors are selected, then all vendors will be included in the file.
Output File Name is pulling the information entered under CORE/Organization.
Exclude vendors without a Tax ID – defaults with checkmark. Uncheck the box to include them.
Organization information is pulling from the details under CORE/Organization.
Contact’s Name - Field will populate if entity has the IRS Form 1099 Submission Configuration enabled to submit their own IRS file.
Contact's Phone - Field will auto populate based on the data entered in the IRS Form 1099 Submission Configuration. If no phone number is entered, it will autopopulate from the CORE/Organization.
Contact's Email –Field will populate if entity has the IRS Form 1099 Submission Configuration enabled to submit their own IRS file.
Submission Type - This option allows selection of submission or form type
Original – To be used for the Original Submission
Type 1 Correction – To be used for any Type 1 Correction submissions
Type 2 Correction - To be used for any Type 2 Correction submissions
Test – To be used to test the Submission. This option only applies when the District is configured to submit 1099s. File name created: District_1099_Type of Return_T (i.e. Sampelville_1099_MISC_T)
Prior Year Submission? This only shows if entity has the IRS Form 1099 Submission Configuration enabled to submit their own IRS file, A separate transmission is required for each tax year. Check mark the box if submitting a 1099 file to the IRS for a past year so that options will change. A report or file will not process until the year is selected. Only options available will show.
Approved for the Combined Federal/State Filing Program - This only shows if entity has the IRS Form 1099 Submission Configuration enabled to submit their own IRS file, If showing, the default includes the check mark but may be unchecked if applicable
IRS established the Combined Federal/State Filing (CF/SF) Program to simplify information returns filing for the taxpayer. Through the CF/SF Program, IRS/IRB forwards original and corrected information returns filed electronically to participating states free of charge for approved filers. Anyone with a valid Transmitter Control Code (TCC) can request approval from IRS for participation in the Combined Federal/State Filing (CF/SF) program. If you don't have a TCC, you can click here for more information on how to apply for one. To request approval to participate, an electronic test file coded for this program must be submitted to IRS electronically. If the test file is acceptable, IRS/IRB will send you an approval letter. While a test file is only required for the first year a filer applies to participate in the program, IRS/IRB highly recommends that a test file be sent every year a filer participates in the program. For detailed information on the Combined Federal/State Filing program, refer to IRS Publication 1220
Amount Type limit defaults to 600.00 but can be overwritten if desired.
Royalty Type limit defaults to 10 but can be overwritten if desired.
Payer Name Control (PMNC) - Not required. Optional field for the 4 character code that the IRS assigned when the district applied for their TCC (Transmitter Control Code) in order to submit files to the IRS at the district level.
Click on 'Print 1099 Report' to generate the 1099 report(s) in PDF format. This report will include both active and inactive vendors.
Generates 1099-NEC.PDF if '1099-NEC' is checked under Type of Return
Generates 1099-MISC.PDF if '1099-MISC' is checked under Type of Return
Click on 'Generate' to generate the selected output file type format.
The 'IRS Format' output file type will generate the entity .TAP file used to submit to the IRS and will be stored in the Calendar Year Report Archive.
When the District has the IRS Configuration selected to "District Will Submit 1099 File To IRS," the IRS TAP file will start the file with a T record identifying the transmitter of the electronic file and will end with a F record indicating the end of the transmission.
NOTE: If entity has the IRS Form 1099 Submission Configuration enabled to submit their own IRS file, it will also generate a 1099.TXT transmitter report and store this in the Calendar Year Repor Archives. TIP: If not generated, please check to see if pop-up blockers on your browser are preventing the files from being generated
The 'XML Format' output file type will generate an .XML file to be used by third party software to print the 1099s and will be stored in the Calendar Year Report Archive.
The 'PDF Format' output file type will generate pdf files.
1099 Extracts Reports
1099-NEC Extracts Report
1099-MISC Extracts Report
1099 Transmitter Report
Example Printer/Sealer Output
1099-NEC
1099-MISC
Corrections
Prior to Generating Correction forms, review and update the IRS Form 1099 Submission Configuration if needed. This configuration determines if the District will be submitting or ITC will be submitting the files. Submitter and contact information utilized for the IRS Format can be maintained in the configuration.
IRS Format Note
If the configuration is checked for District Will Submit 1099 File to IRS or ITC will submit, then the Transmitter and End of Transmission records will be included in the IRS Format file. This file can be submitted directly to IRS and would not require the ITC-M program for the ITC to append the header. If neither configuration option is checked, the file will not contain the Transmitter and End of Transmission Records and can be merged with other files via ITC-M.
A correction form is specified using the Submission Type drop down and selecting TYPE 1 CORRECTION or TYPE 2 CORRECTION. As detailed by the IRS General Instructions, there are two different processes for making corrections depending on what type of information needs to be corrected on the original form. Correction forms are to be used for updates to 1099s that happen after the original submission to IRS.
The steps below are intended to assist with Correction form creation in USAS. Please also refer to the IRS General Instructions and Publication 1220 for official information on filing these forms.
Type 1: One-transaction Correction
These corrections only require a single new form to be issued. Generally this method is used for more minor differences that do not involve the Payee (Vendor) information to be updated.
If the original transaction was filed with one or more of the following error types:
Incorrect money amount(s), code, or checkbox
Return should not have been filed
Correction steps:
Correct the vendor with the appropriate information
Vendor Adjustments can be used to update amounts
If the return should not have been filed, use a Vendor Adjustment to bring the taxable amount to zero. (For now, leave the vendor as the same 1099 Type so that it can be picked up in the 1099 extracts. If needed, the vendor can be changed later to Non 1099)
Generate a new Output File using the Periodic > 1099 Extracts
Choose Payment Year for same year that the original form was issued
Choose Type of Return for same form type that the original form was issued
Use the Vendor selection box to choose vendor in question and move to the right side to select just a single vendor
Choose Submission Type "TYPE 1 CORRECTION"
If the return should not have been filed, change the Amount Type Limits to zero to allow the form to be pulled
Generate IRS Format to submit correction to IRS
Generate Printer/Sealer to issue to vendor
Generate any additional Reference copies desired
When viewing these forms, the CORRECTED checkbox at the top will be checked
Type 2: Two-transaction Correction
These corrections require two forms to be issued. The first cancels out the information submitted with the incorrect Payee(Vendor) information and the second reissues a form with the correct Payee(Vendor) Information.
If the original transaction was file with one or more of the following error types:
No Payee TIN (SSN, EIN)
Incorrect Payee TIN
Incorrect Payee Name
Wrong type of return indicator (ex. 1099-MISC but should be 1099-NEC)
Correction steps:
Prepare a form to cancel out first information return.
Do not make changes to the incorrect Vendor information prior to this step
All Payee information must be consistent with Original submission
Generate a new Output File using the Periodic > 1099 Extracts
Choose Payment Year for same year that the original form was issued
Choose Type of Return for same form type that the original form was issued
Use the Vendor selection box to choose vendor in question and move to the right side to select just a single vendor
Choose Submission Type "TYPE 2 CORRECTION"
Check the box Zero All Amounts (this checkbox will appear below the Submission Type after TYPE 2 CORRECTION is selected)This checkbox allows the from to generate with all $0.00 amounts without needing to modify the amounts on the Vendor. Generating the Correction form with the same Payee information and all zeros will indicate that the amounts should not have been associated with this form type or payee information.
Generate IRS Format to submit correction to IRS
Generate Printer/Sealer to issue to vendor
Generate any additional Reference copies desired
When viewing these forms, the CORRECTED checkbox at the top will be checked
Prepare a form with the correct information.
Correct the vendor with the appropriate information
Update the incorrect vendor information. Tax ID, Payee Name, or 1099 Type
Generate a new Output File using the Periodic > 1099 Extracts
Choose Payment Year for same year that the original form was issued
Choose Type of Return
Use the Vendor selection box to choose vendor in question and move to the right side to select just a single vendor
Choose Submission Type "TYPE 2 CORRECTION"
Do not check the box for Zero All Amounts this timeGenerate IRS Format to submit correction to IRS
Generate Printer/Sealer to issue to vendor
Generate any additional Reference copies desired
When viewing these forms, the CORRECTED checkbox at the top will not be checked
This process will produce two forms to be issued to the Vendor and two IRS Format Files to be submitted for the correction.
Example 1099 Correction
More Information
Deceased Employee reporting
Please refer to the IRS guidelines for guidance on requirements, but IF required, this amount for the deceased employee can be added as a Vendor Adjustment on the Vendor record under Core. This would allow the amount to be reported on a Form 1099-MISC under Other Income.
Posting Period
The December posting period MUST exist in order to process any 1099 files or reports from the Periodic menu. The December posting period does not have to be open or current but it does have to exist in order to see options for the calendar year.
Submission to IRS:
For Payment Year 2020 and forward, the TAP files generated from USAS may be submitted by the District if the district has received the IRS 5-digit Transmitter code or the TAP files can be submitted by the ITC on behalf of their districts by appending the TAP files with the ITC-M application. The USAS TAP files are limited to 750 positions per the IRS Publication 1220 specifications.
1099 Vendors
If a vendor's 1099 location is specified on the vendor record, it will pull the information from that location onto the 1099. If 1099 location isn't specified on a vendor record, it will default to the PO location.
1099 Amounts
By default, the 1099 Extracts program will use the YTD Taxable Total amount from the vendor record.