“To distribute or not to distribute 1099s for my vendors, that is the question.”

While Hamlet may have been better suited to ask this question regarding life or death, when it comes to reporting vendors’ sales the jury is out on whether 1099s are required for your vendors. Some accountants say yes, some say no. Since we are antiquers and mall operators – we certainly are not the ones to answer this question either – we are going to show you what information can be pulled from Quail to assist with preparing your 1099s if your tax professional recommends you complete them.

Generally speaking, 1099s require the following information:

• Your identifying information: Name, address, and Social Security Number or business Tax ID
• Payer’s information: Name, address, and Tax ID of the entity that paid you
• Amount paid: The total income you received during the tax year

So, how do you fill out the 1099 form using information from Quail? The short answer is – You can’t. We do not record or save Vendors SSN’s or Tax ID numbers and we do not know the amount paid out to Vendors. We can assume that the payouts from Quail are the only payments, but there is no way for us to know that.

I know what you are thinking – How do we complete these forms then!? My accountant told me I needed to distribute this information and I can’t get it from you? Here are some options on how to complete these forms.

Disclaimer: We are not tax professionals. Any information provided regarding business or personal taxes is for general informational purposes only and should not be considered professional tax advice. Please consult with a qualified tax professional or certified public accountant to discuss your specific tax situation.

The first way; put all payouts in your accounting software. Software specifically designed for accounting will have built in tools to assist you with completing these forms. That being said, it is probably too late to start doing that now, at least for this tax season.

The second way, assuming that you did not pay out any additional funds to your vendors besides the calculated payout from Quail, would be to use an online service to help you complete these forms or do them manually. Easy enough, right?! Here is where you can find the payout amount for all of your vendors over the last year.

With this information (and some additional information about your vendors) you will be able to complete those forms – assuming that you did not pay your vendors any additional amounts over the year.