In a move that will impact most businesses using Dynamics to generate their 1099 tax forms: The IRS has released a NEW 2020 Form 1099-NEC. This is a form that replaces form 1099-MISC for reporting nonemployee compensation (Box 7). The form 1099-MISC is still used for reporting other types of compensation.
If you are planning to print 1099s out of Dynamics and need the 1099-NEC form from the system, please let us know ASAP. Our Dynamics team will reach out to you directly with recommendations.
If you need any help with your year-end processes, please contact us. Stay tuned for more helpful tips! And if you missed the first six tips, you can catch them here:
Day 3 – Remember That Year-End Close Tasks Are Time/Order Sensitive
Day 4 – Watch the Year-End Processing Webinar Recording
Day 5 – Remember That Some Year-End Closing Routines Take Time