6 Common Questions with Closing the 1099 Year in Microsoft Dynamics SL

This blog is part of our Customer Care series, where our experts address technical implementation and service questions across the Tribridge product portfolio to assure that customers have the support they need to optimize their solution most effectively and efficiently.

As we head into the busy holiday season, many of you are probably starting to think about how to prepare for the close of the year. In this blog, I will focus on 1099 reporting and the steps to take to ensure success.

Here are some common questions that the Tribridge Customer Care team gets regarding 1099 processing. Some you can address on your own and others, you may want to give us a call.

Question #1: “We are reviewing the 1099 preview. Why do the balances seem to be wrong?”

You can address this in a couple of ways.

In most cases, leveraging Initialize Mode will be the most cost effective and best solution. Use Initialize Mode on the Vendor Maintenance screen, then 1099 tab by hand keying the correct values, or the AP Integrity Check to rebuild the 1099 balances.

If it’s too much effort to hand correct the 1099 values, you can take a hybrid approach. Since the data needed for leveraging the 1099 rebuild will not exist due to initial setup oversight, the vouchers were not “tagged” for 1099 tracking.

Once the vendor 1099 setups have been completed, we can schedule a consultant to help with correcting the voucher data that was not 1099 tracked. Using SQL tools and leveraging the corrected vendor 1099, the AP Integrity Check can be run to rebuild the data using the corrected vouchers.

Question #2: “I have a vendor that was never setup for 1099, but should have been. What can I do?”

If you find that you have only one or two vendors showing issues and you caught them early, simply complete the setup of the 1099 Vendor as it should have been, then using Initialize mode, update the 1099 balances on the 1099 tab for that vendor.

From that point forward, SL will continue to manage 1099 balances for the vendor. However, please note, you will not want to run the AP 1099 Rebuild since it will wipe out the manually entered balances in the open 1099 years.

Question #3: “When test printing our 1099s, they appear to be misaligned with this year’s new form. What should I do?”

Once you reach the point where you need to print your forms, you may find they are not aligned. This is usually due to changes made to the government issued form.

To resolve this, you should contact the Customer Care team to have a consultant scheduled to apply year-end updates for the supported calendar year and SL version.

Question #4: “Can I send my federal 1099 data electronically?”

Should you decide you want to send the Federal data electronically, you can leverage SL’s “Generate 1099 Electronic File” screen. If SL is kept current on the latest version of year-end updates, your file format will be compatible with Federal filing requirements.

Question #5: “I can’t cut checks, I’m getting a date error! What is the issue?”

Many find they cannot cut AP checks at the turn of the New Year. The solution is not tied to 1099 printing or processing, but the process is often forgotten when all the 1099s are completed and finalized… Closing the 1099 Calendar Year.

SL only keeps two years active at a time. To print checks, the date of those checks must fall into an open 1099 year. Often times, the oldest year is never purged/closed once the window for processing 1099’s has closed. Be sure to visit the 1099 Calendar Year Control screen to see what the active years are and put a reminder in your calendar to purge the oldest year before the turn of the New Year to ensure you have an open year for issuing checks.

Question #6: “How do I close my 1099 year?”

When it comes time to purge/close a 1099 year, you will want to go to 1099 Calendar Year Control in AP. From there simply go to the Process Option and select Purge the Oldest year then begin processing. This will delete the oldest data, shift the remaining data back one year then open a new calendar year.

The above tips are high level and meant to help mitigate some confusion surrounding 1099 processing and closing procedures. You will want to be sure to leverage your AP Help PDF for more in depth detail. If at any time you have questions or concerns, please feel free to reach out to the Customer Care team for help, we are happy to assist with your needs.;

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