As you may be aware, the IRS has issued new regulations requiring nearly all businesses to e-file their 1099 documents. Unfortunately, native functionality for filing 1099 forms in Dynamics GP does not provide for the e-filing of information returns.
What is the best way for me to file my 1099’s?
As always, Telmar is here to help. We offer multiple 1099 processing options to simplify your year-end. Our tight relationship with clients enables us to be your easy button.
Our full-service printing, mailing, and filing service, provided by Adams Tax Forms, is the best way to process your 1099’s. We take your data and complete the whole process on your behalf.
Two Easy Steps
Step 1 – Review 1099 Vendors and Amounts
Telmar can help you by extracting existing vendor data for your review, and importing any changes into GP for your records.
Step 2 – Transfer to Adams Tax Forms for processing
Telmar can help you by transferring the verified data, placing the print/mail/e-file order, and confirming the result on Adams’ website.
How do I get Started Processing 1099’s in Dynamics GP?
The first step is to ensure that your 1099 data in Dynamics GP is accurate. If you need help with this, please Contact Us for assistance. We generally provide a spreadsheet of relevant data, including existing vendors, 1099 settings, and payments generated during the year. You can use that data to produce a file with accurate 1099 amounts for each vendor, and we upload that data into GP for you.
Next, decide if you would like our full-service option or if you will handle 1099’s yourself.
Full-Service Option
If you allow us to take care of your 1099 processing, all you need to do is finalize your 1099 data before mid-January and let us know when you are ready for us to process. We will extract and upload the data to Adams Tax Forms for processing through their full Print, Mail, and e-file service. We will invoice you for the actual cost of their service.
Do It Yourself Option
Adams Tax Forms is one of many service providers that specialize in processing various forms, including 1099’s, 1098’s, W-2’s, and the associated summary forms. We have a standard extract that generates the data in your Dynamics GP system in the format Adams requires.
Did You Know?
The 1099-NEC form was resurrected by the IRS in 2020. The 1099-NEC form was previously used in 1982 to report income before being moved to the Misc form in 1983.
If you are a Telmar client, we will deploy this extract in each active company for your use in extracting data. For other clients, we can provide the SSRS report RDL file for use in your environment.
Additionally, we can provide assistance using Adams’ website to process your forms at our standard billing rates.
What is the cost for 1099 Processing?
To help with budgeting, we have fixed pricing for our 1099 Processing services:
| Service Description | First Company | Additional Companies |
|---|---|---|
| Import/update 1099 data from Excel into Dynamics GP | $200 | $100 |
| Full-service 1099 processing (transform and upload GP data to Adams Tax for processing through their print/mail/e-file system) | $400 | $150 |
| Do it yourself (SSRS Report deployed for you to extract 1099 data in Adams Tax or 1099 Pro format) | $200 | $100 |
The Fine Print
- Adams Tax Forms pricing table shows it is $2.95 per form that is printed and mailed, regardless of the volume of forms. Additionally, the e-file fee ranges from $3.00 down to $0.90 per form, depending on volume. Our fixed-fee pricing covers the e-file bundle cost.
- Adams’ fees go up after January 14th. Telmar is not responsible for additional costs incurred as a result of any delays.
- All of Telmar’s fees double after January 14th. Contact us today to reserve your place in our queue, and to ensure the best price.
- Remember that 1099 data generally includes confidential data, such as social security numbers. We will transmit the data to you as securely as possible; please ensure that anything you send to us is encrypted or otherwise secured.
- Data provided for import into Dynamics GP should be organized. We can provide a template if desired. Our standard hourly rate applies to data that needs substantial cleanup to be usable.
- Please plan to finalize your data by mid-January; we need time to process everything before the cutoff deadline. Extensions can be arranged as needed.
What other options are Available?
Telmar’s goal in offering this service is simple: we want to be the easy button for 1099’s. There have been several changes to 1099’s in recent years, and not everyone has upgraded GP to keep up with the current requirements. We have adopted this solution as a simple alternative to upgrading GP for those companies and a simple method for e-filing your returns.
The obvious alternative is to print 1099’s out of GP directly onto preprinted forms, or, if you are on Dynamics GP 18.6 or higher, directly onto plain paper. Our blog post Dynamics GP 1099 Process in 4 Simple Steps documents the process. Older versions of GP involve additional steps to print current 1099 forms, primarily due to formatting changes. We find that it typically costs our clients more than using our Full-Service Option.
Once you have the 1099’s printed, you can use the IRIS system from the IRS to e-file your returns. The IRS supports traditional upload formats, as well as a new option using a CSV file, although that option is limited to 100 records per upload. If you intend to use this approach, plan ahead, sign up for the IRIS system early, and test an upload of your data.
If you need assistance printing your forms out of GP, please Contact Us. Likewise, if you need assistance using the IRIS system, we are glad to help. We always want to be the easy button, particularly with 1099 processing in 2023!
Start the planning process today
We encourage you to start planning for your 1099 processing for 2023 today. Reach out to your primary consultant at Telmar, or Contact Us today to get booked in our schedule. January is a busy time for everyone in accounting; get ahead of the curve and mark 1099 processing off your list today.
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Telmar Computer Solutions, Inc. is providing the information in this publication as a courtesy, free of charge, to share information with the general public. Nothing in this publication is intended to be, nor should be, interpreted as advice or consultation on any matter, including taxes, accounting, business management, system configuration or operation, or any other similar topic. Please engage the services of an appropriate professional for assistance in these areas. Telmar Computer Solutions, Inc. is not responsible for any loss, including downtime, lost files/data, rework, or other expenses sustained by you, your company, or any person who relies on this publication.
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