In some jurisdictions, for example, the USA, there may be a requirement to report on payments made to individuals or companies regarded as contractors. Our system can identify such suppliers as Contractors and produce the necessary report.

Prerequisite: Set country to United States

See Managing Company Details & Settings for further details.

1. Go to Setup > Company Details & Settings.
   
2. In the Company Details tab, set your Country Name to the United States.
3. Complete any other details‍ and click Save.

See:

Managing Company Details & Settings 

Using Codes Maintenance 

Managing Supplier Master Records 

Step One: Enable the 1099 Code

See Using Codes Maintenance for full instructions on setting up tax codes.

1. Go to Setup > Codes Maintenance > Taxes. 
   
2. Click Edit against any tax code the Vendors might use for billing. In the Edit Tax screen, tick the 1099 Code and click Save.

Step Two: Nominate Vendors as Contractors

See Managing Supplier Master Records for further details.

Setting this Code against a particular Vendor will record all Payments (i.e. Paid Invoices) made to the Vendor for reporting purposes. 

1. Go to Purchases > Vendor and open the relevant account.
2. In the Finance Settings tab, complete the Contractor Tax Code field. For details on any other fields, see Managing Supplier Master Records.
3. Click Save.

Step Four: View the Contractors Payments Report

For further instructions, see Using the Report Manager.

When Invoices are paid and allocated, they will appear in the Report.

1. Go to Reports > Report Manager.
2. Select AP > Transaction Enquiries > Contractor Payments or use the Search option.
3. Complete the following:
   • From Transaction Date.
   • To Transaction Date.
   • Supplier(s): The list of suppliers you want to report on. 
   • Total Payments to Contractors Greater Than: Enter a lower financial limit for each Supplier (Vendor). This decides whether to include them in the Report. 

View the Contractors Payments Report

For further instructions, see Using the Report Manager.

When Invoices are paid and allocated, they will appear in the Report.

1. Go to Reports > Report Manager.
2. Select AP > Transaction Enquiries > Contractor Payments or use the Search option.
3. Complete the following:
   • From Transaction Date.
   • To Transaction Date.
   • Supplier(s): The list of suppliers you want to report on. 
   • Total Payments to Contractors Greater Than: Enter a lower financial limit for each Supplier (Vendor). This decides whether to include them in the Report.