How to Print 1099-NEC in QuickBooks

Printing your Form 1099-NECs directly from QuickBooks is one of the most efficient ways to manage year-end compliance for your independent contractors. Instead of manually filling out each form, you can use the data you’ve already been tracking all year. This step-by-step guide will walk you through the entire process, from initial setup to printing the final forms in both QuickBooks Online and QuickBooks Desktop.

Before You Print: Crucial Setup and Verification Steps

Jumping directly to the print function without a proper setup is a common mistake that leads to inaccurate forms. Before you print anything, you need to ensure QuickBooks has the correct information and that it knows which payments to report. Taking a few moments to verify these settings will save you significant time and potential headaches later.

1. Confirm Contractor Information is Complete

Each contractor you need to file a 1099-NEC for must have complete and accurate information in QuickBooks. This data is pulled directly from the Form W-9 you should have collected from them before you paid them for the first time.

In your vendor list, review each 1099 contractor and confirm the following details are entered correctly:

• Full Name and/or Business Name: The name must match what is on file with the IRS. For a sole proprietor, this is their individual name sometimes followed by their business name (DBA). For an LLC or corporation, it's the official business name.
• Taxpayer Identification Number (TIN): This will either be a Social Security Number (SSN) for individuals or an Employer Identification Number (EIN) for businesses. Double-check this field for typos, as an incorrect TIN is a frequent cause of IRS notices.
• Mailing Address: Ensure you have the current, complete mailing address for the contractor.

To check this in QuickBooks Online, go to Expenses > Vendors, click on the contractor's name, and select Edit. In QuickBooks Desktop, go to the Vendor Center, double-click the vendor's name, and review the information on the Address Info and Tax Settings tabs.

2. Tag Vendors as 1099 Contractors

QuickBooks needs to know which of your vendors are independent contractors who require a 1099. Simply entering their TIN isn’t enough; you must explicitly flag them.

• In QuickBooks Online: When editing the vendor's profile, there is a checkbox that says "Track payments for 1099." Make sure this box is checked. Simply save the vendor after selecting it.
• In QuickBooks Desktop: In the Vendor Information window, go to the "Tax Settings" tab. You'll see a checkbox labeled "Vendor eligible for 1099." Check this box and enter their TIN in the "Vendor Tax ID" field.

If you miss this step, QuickBooks will exclude the vendor from the 1099 preparation process entirely, even if you paid them more than the $600 threshold.

3. Map Your Payment Accounts

This is the most important preparatory step. You must tell QuickBooks which of your expense accounts contain the payments that constitute nonemployee compensation. For example, you likely want to include payments from an account called "Contractor Fees," but you would want to exclude payments for inventory or rent.

To map accounts in QuickBooks Online:

1. Go to Expenses in the left-hand menu and select Vendors.
2. In the top right corner, click the "Prepare 1099s" button.
3. Follow the initial prompts. QuickBooks will then bring you to a screen where you review your company information.
4. The next crucial step is "Categorize payments." Here, you'll see a list of accounts. For each account you used to pay contractors, check the box and select "Nonemployee compensation" from the dropdown menu. This links those accounts to Box 1 of Form 1099-NEC.

To map accounts in QuickBooks Desktop:

1. Go to the Edit menu at the top, select Preferences.
2. On the left side of the Preferences window, select Tax: 1099.
3. Click on the "Company Preferences" tab.
4. You will see a question: "Do you file 1099-MISC or 1099-NEC forms?" Confirm you file 1099s.
5. Below this, you'll see a section titled "Map Vendor Payment Accounts." Click the hyperlink here that says, "If you want to map your accounts to boxes on Form 1099-NEC, click here."
6. A new window will appear. From the "Apply payments to this 1099 box" dropdown, choose "NEC Box 1: Nonemployee Compensation."
7. Then, from the list of "Accounts to pony nonemployee compensation," select all the expense accounts you used to pay your independent contractors throughout the year (e.g., Subcontractors, Professional Fees, Outside Labor).

How to Print 1099-NEC Forms from QuickBooks Online

Once your data is verified, QuickBooks Online makes the printing process very straightforward. QBO is designed to guide you through a wizard-like process to prepare, review, and print your forms.

1. Start the 1099 Process: Navigate to Taxes on the left menu, then select 1099 Filings. Alternatively, you can go to Expenses > Vendors and click the "Prepare 1099s" button.
2. Review Contractors and Payments: QuickBooks will show you a list of all contractors you’ve paid. Verify that the payment totals meet the $600 threshold. On this screen, you’ll also confirm again that the contractor's name, address, and TIN are correct. If you find an error in the payment total, it's likely an account mapping issue you need to go back and fix.
3. Final E-file and Printing Steps: QBO will guide you through prompts to finish the process. Eventually, you will be prompted to either e-file your forms through QuickBooks (a paid service that often includes mailing them to contractors for you) or to print them yourself. If you choose to print:
   • Select the "Print and mail myself" option.
   • QuickBooks will generate a PDF file of your 1099-NEC and 1096 forms. You must purchase compatible, pre-printed 1099 forms to print on, as Copy A for the IRS needs to be on special, machine-readable red-ink forms. You can find these at most office supply stores or online.
   • Download the PDF. When you open the file, it will have instructions. First, you'll print a test page on plain paper to check label alignment. Hold this test sheet up to one of the real, pre-printed form sheets to ensure the data will print inside the correct boxes.
   • Once alignment is confirmed, load your pre-printed forms into your printer and print the official copies from the PDF file. Be sure to print Copy B for your contractors, Copy 2 for state filings (if required), and Copy A to mail to the IRS.

How to Print 1099-NEC Forms from QuickBooks Desktop

The process in QuickBooks Desktop also uses a guided wizard, but the steps and interface are slightly different from the Online version. The key here is proper setup and careful alignment checks.

1. Launch the 1099 Wizard: Go to the menu bar and select Vendors > Print/E-file 1099s > 1099 Wizard. The QuickBooks 1099 Wizard window will open.
2. Begin the Process: Click "Get Started." The wizard will show you a list of your 1099 vendors. Review this list to ensure everyone who should be included is there.
3. Verify Vendor Information: The next screen lets you review the details for each of them. You can see a grid with their names, TINs, and addresses. This is your chance to make final corrections if needed.
4. Confirm 1099 Amounts: The wizard tabulates the payment totals based on the accounts you mapped in the Preferences. It will show a table of all vendors and their payment amounts. Thoroughly check these balances against your own records. If an amount is incorrect, the cause is an issue with either a transaction that needs re-coding to a different account or an error in your account mapping setup.
5. Choose Your Filing Method: You again have two options: e-file or print. Select "Print 1099-NEC." You will need to select the tax year for which you are filing.
6. Printing and Alignment Check:
   • Just like with QBO, you must have the specific, IRS-approved pre-printed forms. QuickBooks Desktop typically supports 3-per-page or 4-per-page 1099 kits.
   • Before printing on the official red forms, Desktop has an excellent built-in alignment tool. Select the forms you want to print, and then click "Print a Test Sheet" or a similar button. This prints an alignment guide onto a blank piece of paper.
   • Take your printed test page and hold it behind an official, pre-printed 1099 form. Hold both up to a light source. You can clearly see if the test print falls within the boxes. If not, the alignment tool has arrows that allow you to adjust the printing up, down, left, or right by tiny increments until it is perfect.
   • Once a new test sheet shows the perfect alignment, load your official forms and print Copy A (for the IRS) and Copy B (for your recipients).
   • Don't forget to print the Form 1096, which QuickBooks also generates. This is the summary and transmittal form that must be sent to the IRS along with the physical copies of your 1099-NECs.

Final Thoughts

Preparing, verifying, and printing your 1099-NEC forms in QuickBooks simplifies what was once a tedious manual task. By following these steps—starting with careful data validation, mapping your accounts correctly, and using the built-in wizards—you can ensure your forms are accurate and ready for timely distribution to your contractors and filing with the IRS.

Of course, tax compliance involves more than just printing forms; understanding the nuances of worker classification, specific state filing requirements, or the taxability of certain payments can be complex. That’s where having an on-demand research tool helps. With Feather AI, you can ask plain-language questions like "Are payments for materials included in 1099-NEC totals?" and get back immediate, definitive answers from IRS regulations, giving you actionable insights backed by authoritative sources.