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1099s the Easy Way

January 13, 2012 | By | 8 Replies More

Prepare, E-Deliver, and E-File All of Your 1099-MISC forms in 30 Minutes or Less

If you’re sick of the hassle and costs of preparing, printing, mailing, and filing 1099 forms consider Track1099. This is a Web application that integrates with accounting software (QuickBooks Online, Bill.com, Intacct, and others) to automatically import all of your vendor details. Then, within the application, you can prepare, e-deliver, and e-file Form 1099-MISC.

For the latest updates on 1099′s and Track1099 (for tax year 2012) see our updated article: Prepare your Form 1099 Online and Paperless

One very important feature that differentiates this program from the Intuit 1099 E-File Service that is a part of QuickBooks is that this program doesn’t just E-File, it also E-Delivers. That is, in addition to filing the forms with the IRS, this service provides your recipients with a copy of the 1099 form so that you don’t have to mail them yourself.

At The Sleeter Group, we’ve used Track1099 for two years, and it works great! We prepared, e-delivered, AND E-FILED our 1099s in 20 minutes. And for our 10 vendors, we paid just $39.90.

Let’s look at some of the advantages of this service:

  • E-Filing and E-Delivery: Track1099 allows you to go paperless with the whole process of 1099 filings. You use it to prepare, E-file with the IRS, and e-deliver the forms to your vendors.
  • Integrated: Track1099 offers seamless integration with Bill.com, Intacct.com, RealPage.com, QuickBooks Online, and CSV files. Although the QuickBooks and Peachtree integration is not quite as seamless, it is still less painful than printing on paper. To transfer QuickBooks Desktop and Peachtree vendor lists to Track 1099, you can sign up for a no obligation trial account with Bill.com, or you can use an export/import process as described below.
  • Secure: Industry-standard 256 bit SSL encryption protects your sensitive data. Track1099 is totally PCI-compliant with credit cards.
  • Customer Support: Support is provided via live chat and e-mail.
  • Combined State/Federal Filings: Track1099 participates in the Combined State/Federal filing program. Each state has its own rules, so you’ll want to check those out and see what requirements they have.
  • Paper mailing of 1099s for delivery to vendors with missing email addresses. Additional fees apply for paper mailing.

Track1099 is available to business owners (for their own business) or for tax professionals who would like to manage multiple client accounts.

Here is how the program works

The first thing is to go to the track 1099 web site and create a login. Then, set up your company account, and start importing from either bill.com, Intacct, Realpage, or from a csv import (discussed later) of QuickBooks or Peachtree data.

After you complete the import of the vendors and payment totals, you can review each 1099 on the screen and make corrections as necessary. Note you can manually add vendors and payment totals too.

Track1099 Setup

When your data is ready to send to the recipients, go to the 1099 Summary section and select each vendor to be sent.

Select Vendor

After reviewing the 1099s, you’re ready to e-deliver and e-file. Go to the E-file 1099s section and decide when to send the 1099s to the vendors, and when to e-file them with the IRS. This is where you’ll enter your credit card information and pay for the service.

E-file 1099

That’s all you have to do! From this point you can check the status to see who you’ve sent forms to, who has received the forms, and when the forms are scheduled to be sent to the IRS.

1099 Status

What Your Vendors Receive

Your vendors will receive email notification that their 1099 is ready for viewing, printing, etc., via a secure login to the track 1099 site:

Vendor 1099 notification

The link takes them to a page where they can retrieve their 1099.

Track1099 landing page

Here’s a sample of what they would see once they connect:

Viewing the 1099

Note that your accounting software will be handling all of the issues of the new 2011 IRS rules on excluding payments made with credit cards (etc.), this service will take the final amount that your accounting software calculates.

Working with QuickBooks Desktop

To transfer QuickBooks Desktop data you can either work through Bill.com (you can sign up for a free trial account), or you can use the CSV export/import process as described here:

  1. Run a 1099 Summary Report in QuickBooks and verify all of your vendor information, tax IDs, and payments for the year.
  2. Export this report to a CSV file (1099Pmts.csv).
  3. Create a customized/filtered Vendor Contact List report: Click here for the QuickBooks report template
  4. To import this predefined QuickBooks report:
    1. In QuickBooks, display the Memorize Report List.
    2. From the Memorized Report dropdown, select Import Template.
    3. Browse to select 1099_Vendor_List.QBR
    4. After the report template imports, you can run it by double-clicking on the memorized report called 1099 Vendor List.
  5. If you don’t want to use our predefined report template, you can create your own report by following these steps:
    1. Create a Vendor Contact List.
    2. Filter the report to display only those vendors who are eligible for 1099s.
    3. Customize the columns to display:
      1. Contact, Tax ID, Bill from 1, Bill From City, Bill from State, Bill from Zip, Email
  6. Export the customized/filtered Vendor Contact List to CSV (VendorInfo.csv).
  7. Download and open the Track1099 Excel Import template and copy/paste data into the appropriate columns from the two reports (1099Pmts.csv and VendorInfo.csv) above.
  8. Save the populated Excel template as Track1099ImportFile.CSV.
  9. Go into Track1099 and go to the Import tab and follow the steps to Import from CSV.
  10. Once you’ve finished importing your vendors and payment amounts, you should review each of the 1099s before sending them. Make sure you verify that the “Second Name” field in Track1099 includes the “dba <companyname>” text, or the 1099 may be rejected by the IRS.

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Category: For Consultants/Accountants, For Small Business Owners, Product Reviews, QuickBooks Add-ons, QuickBooks Online, QuickBooks Tips/Tricks, Working with QuickBooks

About the Author ()

Doug Sleeter is a passionate leader of innovation and change in the small business accounting technology world. As a CPA firm veteran and former Apple Computer Evangelist, Doug has melded his two great passions (accounting and technology) to guide developers in the innovation of new products and to educate and lead accounting professionals who serve small businesses. Doug is best known for his expertise in QuickBooks as well as driving the adoption of online accounting and small business process solutions. In the early 1990s, Doug was a pioneer in developing the first QuickBooks seminars in the country and has since built the largest group of accounting software consultants in the small business accounting profession. Doug serves on several advisory boards for technology companies and has consulted with numerous industry leaders, including Intuit, Sage, Apple, and Adobe Systems. CPA Practice Advisor has recognized Doug as one of the "Top 25 Thought Leaders" in the accounting profession for the past several years and he has been named to Accounting Today's "Top 100 Most Influential People in Accounting" each year since 2008. Highly sought for his ability to engage and educate accounting professionals, Doug presents at various accounting events throughout the year, including those held by the AICPA and numerous state CPA societies. Doug also hosts the annual Accounting Solutions Conference, attended by hundreds of accounting professionals, industry leaders, and technology developers.

Comments (8)

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  1. Diane Offutt says:

    Charlie,

    Does this program only handle 1099 – MISC or can it handle 1099-INT?

  2. Denice Hogan says:

    Charlie, when looking at the sign up page, it asks for a (optional) referral code. Is that something that pertains to how I was referred to the sight? Do you have a referral code that you would like me to use that would show you as the reference?

  3. Karin Carter says:

    As a newbie learning to do bookkeeping for our business, I appreciated learning about Track1099. I used them this year and saved a lot–last year I used Intuit. This was simple.

    Thanks!

    Karin

  4. Lawrence says:

    Good information. Some of these web based solutions are so easy to use and also its very cost effective.

    Last year I ended up using http://www.tax1099.com for 1099-K, 1099-INT and 1099-Misc. It worked great and best part is same payer/payee data can be used for multiple filings. If you have a payer A and Payee B, you can reuse the data to file 1099-Misc, 1099-INT, 1099-MISC and file different forms.

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