It’s that time of year again: here is your gentle reminder to send your 1099s to your vendors AND submit them to the IRS by Jan 31.
But wait, did you order your forms yet? Recall how to order them? What about how to file your 1099s? No need to panic. What was once a labor-intensive to-do requiring you to sift through a full year’s worth of vendor records—a feat that could take as long as a week—is now a breezy task with real estate property management software like MRI or Yardi. To get started on your 1099s, check out last year’s blog, 1099s: Seven Simple Tips for Filing, to get the full scoop.
Our first objective here is to share updates to Yardi’s 1099 processing and MRI’s 1099 processing. MRI’s update is—there is no update! You’re good to go with the same trusty technology you are accustomed to.
Yardi 1099 Processing Updates
In terms of Yardi 1099 processing, here is what you need to know: The 1099 plugin 6.0 for Yardi Voyager was released on Nov. 29 with several updates and enhancements. Improvements include functionality updates to interest credits and interest checks, and electronic filing updates to Payer record. Additionally, Yardi’s Owner 1099 Detail Report now honors the Minimum Amount Specified; the 1096 form now correctly pulls the data when the Payer and the Bank are the same. The issue some of you may have come across where the 1096 for Owner wasn’t picking up the correct totals in Yardi has been corrected.
Oh, and the new 1099 Processing Guide was just released. Make sure to go to Yardi Client Central for a copy for extra tips and guidance.
2019 Tax Rule Updates
Our second objective with this blog is to share tax rule updates. Here’s the biggest takeaway: If you are submitting a 1099-MISC with Box 7 completed after the Jan. 31 deadline, make sure that the electronic submissions are completed separately from the 1099-MISC submission for box 1 (or any other box), which are not due until March 31. Otherwise all submissions in the package will be marked late and assessed a penalty! Additionally, there are new state threshold rules regarding reporting 1099-Ks. We recommend that you contact your tax accountant for specifics.
We know tax season is a stressful time, which is why we write these blogs. We hope they provide helpful tips, remind you of key deadlines, and keep you as calm as possible during this once-a-year procedure. If you get overwhelmed, have any questions, or just need a quick pep talk, don’t hesitate to give us a ring. That’s what we are here for.