GP Year-End Form FAQs for Microsoft Dynamics GP 2022 Update
Question 1: Where can I find instructions and Due Dates for the 1099 MISC and 1099 NEC forms for the 2022 year?
Answer 1: Refer to the IRS instructions (revised January 2022) for the 1099-MISC and 1099-NEC forms: 2022 Instructions for Forms 1099-MISC and 1099-NEC (irs.gov)
For Due Dates, please refer to the When to File section on the IRS website for more information: https://www.irs.gov/pub/irs-pdf/i1099gi.pdf
Question 2: Is there any guidance on what GP users should plan to do for reprints or corrected 1099’s from prior years?
Answer 2: The 1099 forms printed in Microsoft Dynamics GP will always be consistent with a specific version of GP in conjunction with the IRS guidelines in place at that point in time. This has always been the case in Microsoft Dynamics GP.
While GP does allow users to reprint historical 1099 data from prior years, GP does not store old/historical 1099 form formats. As such, GP will always print the ‘current’ 1099 form included in the current GP code regardless of the year/year’s data the user chooses to print.
As a best practice, in case you need to reprint 1099 forms from prior years after the format of that form has changed in GP: It is recommended to save the 1099 forms to a file each year (in addition to printing them). That way, if you need to reprint a 1099 after the format of the form has changed in the system, you can simply reprint it from the ‘file’ you saved (and not from GP) so you get the ‘format’ you need for that year’s form.
Question 3: Where does the 1099 information I see on the 1099 forms pull from?
Answer 3: Microsoft Dynamics GP pulls data directly from the PM00204 (Purchasing 1099 Period Detail) table. The 1099 Details window (Cards | Purchasing | 1099 Details) also pulls directly from this table.
Question 4: Can I print the new 1099 forms in GP if I don’t install the 2022 Year-End Update?
Answer 4: No, it is not possible to print the 1099 forms (with Rev. January 2022 date) in Microsoft Dynamics GP until you upgrade to a version of GP where the new form exists. The 2022 changes for the 1099-forms are BOTH dexterity code based, and forms/reports based. You cannot get the changes for the new 1099-forms without the new dexterity code in place.
With that being said, there are Microsoft Partner out there that may offer a way to print forms without upgrading. You can reach out to your Microsoft Partner to see if they can assist.
Question 5: I need to change both the vendor 1099 tax type and 1099 data before I print the 1099 this year. How can I do that?
Answer 5: Dynamics GP includes fantastic capabilities to edit 1099 information for both the vendor and/or transactions. Please review the options outlined below: (It is always recommended to test first in a TEST company with a copy of live data to ensure you get desired results):
Option 1 – Update the 1099 Purchasing utility to change the 1099 Tax type and 1099 Box number at the Vendor level only, or for Transactions only, or for both Vendor and 1099 transactions for a specific vendor or range of vendors:
- Click Microsoft Dynamics GP >> Tools >> Utilities >> Purchasing >> Update 1099 Information to open the Update 1099 Information window.
- Mark the radio button next to ‘Vendor and 1099 Transactions’ (to change a vendor from one 1099 type to another)
- In the ‘From’ restriction on the left-hand side:
- Tax Type = the tax type you want to change/update
- 1099 Box Number = the box number you want to change/update
- In the ‘To’ restriction on the left-hand side:
- Tax Type = the tax type you want the vendor data to reflect
- 1099 Box Number = the box number you want the vendor data to reflect
- In the Range restriction: Be sure to enter a restriction here You can restrict on Vendor ID, Vendor Name, and/or Vendor Class, and then click the Insert button to insert the restriction. *IF you do not enter a restriction here, GP will try to update all vendors – so it’s important to restrict appropriately!
- Once you’ve verified your settings/restrictions are accurate click on the Process button to process the changes. A report will print where you can review the information that has changed.Note: Note that the ‘Vendor and 1099 Transactions’ option also includes the option for “Not a 1099 Vendor’ in both the FROM and TO sections, so can be a slick tool to use to move vendor FROM or TO ‘not’ being 1099-able.
Option 2 – Use the Edit 1099 Transaction Information window to modify specific 1099 tax types, 1099 Box numbers and 1099 Amounts on the vendor’s specific Transactions for a single Vendor:
- Click on Transactions >> Purchasing >> Edit 1099 Information to open the Edit 1099 Transaction Information window.
- Enter an appropriate Vendor ID. (When you tab off the Vendor ID, all 1099 debit transactions for the vendor will populate the lower part of the window.)
- Leave the default of ‘ALL (or restrict by voucher number, document number, or date if desired.)
- You can select to view 1099 Debit Transactions, Add Debit Transactions, or All Credit Transactions.
- Note: Each time you make a change to the data you’d like to view, be sure to click the ‘Redisplay’ icon at the top of the window.
- Use this window to change the Tax Type, the Box Number, and/or the 1099 Amount for a specific transaction.
- Once you’ve made appropriate changes click on the ‘Process’ button at the top of the window to process the changes.
If you made any changes above, view the 1099 information in the 1099 Details window (Cards >> Purchasing >> 1099 Details) for the vendor and verify the information is accurate. Test printing the appropriate 1099, and verify the information is accurate on the printed form.
NOTE: The options outlined above can also be found in this blog article (with screen-prints) where the windows/features described are available in current versions of Dynamics GP as well:
Question 6: When I print my1099 form, the alignment is off and/or I’m having problems with some specific fields. How can I fix this?
Answer 6: As always, environmental factors may be coming into play such as printer drivers along with individual printer settings. Additionally, many users modified 1099 reports last year (especially in regard to the NEC form). As such the very first thing we recommend you do this year is to verify you are printing the CANNED 1099 report, and then move on from there. (Consider printing the 1099-NEC form with the ‘One Wide with Boxes’ option so it prints with lines and you do not need to use a preprinted form.)
First, ensure you are printing the canned 1099 report:
- Click on Microsoft Dynamics GP >> Tools >> Setup >> System >> User Security.
- Pull up the user who is logged into GP, and the company you’re logged into.
- Click on the ‘Alternate/Modified Forms and Reports’ link at the bottom of the window to open the Alternate/Modified Forms and Reports window.
- In the Alternate/Modified Forms and Reports window:
- Product = All Products
- Series = Purchasing
- Type = Reports
- Expand the Purchasing Folder.
- Expand the appropriate 1099 report folder.
- Make sure the canned version of the report is marked (does not say modified), and verify whether the canned report prints correctly:
Next, verify whether ALL fields on the report need to be moved or not.
If ALL fields on the report need to be moved in the same direction (up/down/left/right), you can test the following:
1. Print the 1099 forms to the screen.
2. In the Screen Output window, click Print.
3. In Print Dialog box, adjust the horizontal and vertical alignments in the ‘Alignment (Inches)’ section according to the following scenarios:
- If the form prints too high, enter a positive vertical adjustment (.25 equals one line).
- If the form prints too low, enter a negative vertical adjustment (-.25 equals one line).
- If the form prints too far to the right, enter a negative horizontal adjustment.
- If the form prints too far to the left, enter a positive horizontal adjustment.
If you are having problems with only one or two fields, you can test the following to modify your report:
- Print the problem 1099 report to the screen.
- Click on the ‘Modify’ button at the top to open the report in Report Writer.
- In report writer, highlight the problem field and use the up/down/left/right arrows to move the field in the desired direction.
- We recommend you make small changes each time (use the arrow only one or two times each time), then test the report again.
- To print the modified version of the report, make sure you grant access to the modified report in the Alternate/Modified Forms and reports window appropriately prior to printing it.
Question 7: Why aren’t the 1099-NEC forms printing for all vendors?
Answer 7: There are thresholds for each box that must be met in order for the form to print. You can find the thresholds under Microsoft Dynamics GP >> Tools >> Setup >> Purchasing >> Payables >> 1099 Setup for each respective form. Note that the threshold for Box 1 for the 1099-NEC form is $600.00, so the form will only print for those vendors who have more than $600 in box 1.
Question 8: When I print the canned 1099 NEC form to screen, I see 2 forms per page instead of 3.
Answer 8: We’ve seen a handful of cases in which, when the user prints the canned 1099 NEC form to a physical printer, they see 3 forms per page as expected. However, when they print the same report to screen: 2 forms are showing unexpectedly.
We haven’t been able to reproduce this internally. However, we recommend that if you are printing the canned 1099 NEC form to screen and seeing 2 forms per page unexpectedly, please test printing to a physical printer as well to confirm whether the form prints accurately there.
Question 9: Do I need to install the October 2022 Release in order to print the 1099-NEC form with lines?
Answer 9: No, the October 2022 release is already included in the 2022 Year-end Update. Each new release is all-inclusive of all prior releases before it. When printing the 1099-NEC form choose the Form type of ‘One Wide with Box’.
Question 10: Why would the 1099 totals not be correct?
Answer 10: Please be advised that the 1099 amounts go by the PAID DATE, not the INVOICE Date. So when checking your math for 1099 amounts, be sure to add up the amounts according to when the invoice was paid. For example, an invoice entered into the system with a December document date, but the check was issued in January, would be reported in the 1099 for the new year since it was paid in January.
Question 11: What does the Purchasing reconcile utility option for ‘1099 amounts‘ do (under the Calendar year reconcile option)?
Answer 11: The reconcile utility for ‘1099 Amounts’ will recalculate the 1099 amounts per period based on the transactional data found in the PM open and history transaction and apply tables and will overwrite the totals in the Purchasing 1099 Period Detail table (PM00204).
Note that any manual edits made in the ‘1099 Details’ window (Cards | Purchasing | 1099 Details) will be lost.
Question 12: How should I fix incorrect 1099 Amounts?
Answer 12: There are two windows where you can edit 1099 Amounts. The first is the ‘1099 Details’ window, where you can make quick lump sum edits to the 1099 Amounts that will print on the 1099 form. However, the changes made here are only to the 1099 table and will be lost if the user runs the Purchasing reconcile option for ‘1099 Amounts’. Therefore, we recommend making any changes directly to the Payables transactions themselves in the Edit 1099 Transaction Information window ( under Transactions | Purchasing | Edit 1099 Transaction Information) so the change is stored permanently on the transactions in the PM tables, and also updates the 1099 table (PM00204) at the same time. If you make the change to the transaction, then the reconcile option for 1099 Amounts will include that change and not overwrite it. (See Option 2 in Question 5 above for more details.)
By CAL Business Solutions, Connecticut Microsoft Dynamics GP & Acumatica Partner, www.calszone.com