top of page
Microsoft Business Central

Business Central US - IRS 1099

This document describes how to set up Vendors as 1099, how to mark already posted entries for reporting of 1099 and how to actually send a report to particular Vendors from BC.

Join On Point Academy to view all content

How to set up Vendor as 1099

  1. Navigate to Vendor Card

  2. Go to “Payments” section

  3. Press on “Show more”

  4. Fill in the “IRS 1099 Code” with the desired code

Marking the Vendor as 1099 only influences newly generated Vendor Ledger Entries from the time of setup onwards (Vendor Ledger Entry is generated upon Purchase Invoice or Purch. Cr. Memo posting). In order to report entries that have already been posted, the Vendor Ledger Entries must be marked with a 1099 code manually.

How to mark historical Vendor Ledger Entries as 1099

In order to include Vendor Ledger Entries in 1099 reporting and submission, they must be marked with a 1099 code. Even though users are not able to change Vendor Ledger Entries after they are created, the “IRS 1099 Code” field is always editable and can be changed.

  1. Navigate to Vendor Card

  2. Use action “Ledger Entries” in “Vendor” tab

Filter for desired Vendor Ledger Entries of type “Invoice” or “Credit Memo” and scroll right to columns “IRS 1099 Code” and “IRS 1099 Amount”

  1. The “IRS 1099 Code” needs to be set in order to include the entry in reporting and submission

  2. The “IRS 1099 Amount” can be set to full or partial amount of the document, this amount will be reported and submitted


Only Vendor Ledger Entries of type Invoice and Credit Memo are reported

How to submit 1099 electronically and inform the vendors


Get trained
the On Point way

From self paced online courses to private training sessions.
Become industry ready.
bottom of page