Per the IRS tax code, certain vendors must be classified as 1099 Vendors. Having 1099 Vendors requires those purchasing from them to submit a 1099 tax form. A 1096 tax form acts as an additional informative document for the IRS. Form 1096 primarily contains information relating to the Legal Entity that has made payments to 1099 vendors. If a 1096 form is required in addition to 1099 tax forms, these can be prepared and printed in Restaurant365. Click here for more information on Printing Form 1099
1) Filer’s Name – Name and address of the Legal Entity
2) Name of Person to Contact – Name of Contact Person within Legal Entity
3) Phone Number – Phone number to reach designated Contact Person
4 & 5) Email and Fax – Email address and Fax Number for Contact Person
6 & 7) Employer Identification and Social Security Number – Employer ID number or Social Security Number if the Legal Entity has not received a federal ID number (Such as a sole Proprietorship)
8) Total Number of Forms – 1096 forms can accompany more than one 1099 tax form (and other tax forms), the total number of forms are entered here
9) Federal Income Tax Withheld – The total of income tax withheld, if any
10) Total Amount Reported with Form 1096 – This number represents the total of all the required boxes as instructed in the last page of form 1096
Restaurant365 can prepare the information required on both forms (1099 & 1096) to be printed on the tax forms supplied by the IRS in the occasion that filing does not take place online (click here to learn how to print 1099 tax forms). If not filing electronically, it is recommended that tax forms are received directly from the IRS to avoid any fees.
Printing 1096 Forms
To retrieve the information for a form 1096, navigate to Accounting > Reports > My Reports in the left navigation bar.
Locate the report title “1096 Form” in the Vendor section of ‘My Reports’. Select a legal entity and the year for which the form is required. Click Run
The 1096 will then be downloaded to the computer, depending on how the computer is set up the download will appear in different places. Most frequently the download will appear in the bottom left of the browser window. Open the download to view the report as a PDF.
Below is the report that R365 will prepare (left) and how it will look on the printed 1096 Form (right)