Direct Answer
Clean your payee data before filing season. Collect a Form W-9 for each reportable payee, verify names and TINs, classify payments by form type, and prepare a simple Excel workbook with consistent columns. Testing a small sample before January can catch missing information and formatting problems while there is still time to fix them.
Key Takeaways
- Get a Form W-9 before year-end for each payee who may need a return.
- Match the payee’s legal name and TIN to the information on file.
- Sort payments by form type and total the amounts before import.
- Prepare an Excel workbook, not a CSV file.
- Test the workbook with a small sample before the filing rush.
Filing Is Fast. Data Cleanup Takes Time.
Missing TINs, duplicate vendor records, and payments coded to the wrong category can turn a short filing task into days of cleanup. A review in November or December gives you a chance to fix those issues before deadlines are close.
Step 1: Close the W-9 Gaps
Make a list of payees who may meet a reporting threshold and confirm you have a completed Form W-9 where appropriate. Check the legal name, business name if applicable, federal tax classification, TIN, and current mailing address. Follow the applicable IRS rules if you cannot obtain a TIN.
Step 2: Check Names and TINs
Compare the payee name and TIN in your records with the information provided on the Form W-9. Look for duplicate vendor records, stale addresses, missing digits, or business-name variations. If you discover a mismatch, resolve it with the payee before preparing the return.
Step 3: Classify Payments
Sort payments by what they were for, then apply the appropriate 1099 form and reporting threshold. Services performed by a nonemployee are generally reported on Form 1099-NEC when the applicable threshold is met. Rents, prizes, and other reportable categories may belong on Form 1099-MISC. Check the current IRS instructions for the payment type.
Payments made by payment card or through a third-party settlement organization are generally reported by the payment settlement entity on Form 1099-K. Review those transactions so they are not mistakenly included again in your Form 1099-NEC totals.
Step 4: Build a Clean Excel Workbook
Prepare an Excel workbook using the import layout required by your filing software. A clear workbook typically has:
- One row for each payee and form type.
- Amounts totaled for the year.
- Separate columns for legal name, business name if applicable, TIN, address, and payment amounts.
- TINs stored as text so leading zeros are preserved.
- No merged cells, blank header rows, or extra totals rows.
1099 Express accepts Excel files for this import process. It does not accept a CSV-formatted file. Use the current 1099 Express template and instructions when preparing your workbook.
Step 5: Test the Import Early
Before the filing rush, test a small sample using the Excel template. Confirm that columns map correctly, names and TINs remain intact, and payment amounts land in the right fields. Keep a clean backup of the original workbook before making changes.
A December Checklist
- Confirm W-9 and payee details.
- Resolve missing or mismatched names and TINs.
- Classify payments by form type and applicable threshold.
- Review card and third-party settlement payments.
- Prepare the Excel workbook in the required template.
- Test a small import and save a backup.
Need help preparing an Excel workbook for 1099 Express? Contact support@1099express.com or call (361) 884-1500 before filing season.
People Also Asked
Q: What file format can I import into 1099 Express?
1099 Express accepts Excel workbooks for this import process. CSV-formatted files are not accepted.
Q: What if a payee has not provided a TIN?
Follow IRS requirements for requesting the TIN and any applicable backup-withholding obligations. Keep records of your requests.
Q: Should card payments be included in my Form 1099-NEC totals?
Payments made by payment card or through a third-party settlement organization are generally reported by the payment settlement entity on Form 1099-K. Check the current IRS instructions for your circumstances.