Articles on: Taxes

How to Configure 1099 Boxes in COUNT

This setup ensures eligible expenses are tracked automatically and appear correctly on the 1099 Filings page.

Set up 1099 boxes

COUNT uses 1099 boxes to determine which expenses are reportable.

From the left-hand navigation menu, go to Settings.
Select 1099 Box Mapping.

Click Select Account.
Select the expense Account you use for contractor or vendor payments.
Assign the appropriate 1099 box.

Save your changes.

Configure vendors or contractors for 1099 tracking

Each vendor or contractor you plan to report must be marked for 1099 tracking.

Go to Vendors (or People & Contractors, depending on your workspace).
Open an existing Vendor or Contractor. Learn how to create Contractors and Vendors here.
Enable 1099 tracking.
Enter the vendor’s legal name and tax information (SSN, EIN, or ITIN).
Save the vendor profile.

Assign expenses and bills to the correct vendor

1099 totals are calculated based on transactions linked to each vendor.

When recording bills or expenses, go to Transactions and select the correct vendor, or select the relevant vendor while creating a bill.
Confirm the transaction is categorized to an account mapped to a 1099 box.
Save the transaction.

Note: Totals are based on when a payment was made, not when a bill was recorded. An unpaid bill will not appear in 1099 totals, and a bill recorded in December but paid in January counts toward the new year.

Review your 1099 totals on the 1099 Filings page

Once your accounts and vendors are configured and transactions are attributed correctly, you can review the totals that will be used for filing.

From the left-hand menu, click Taxes.
Select 1099 Filings.
Review your vendors and their totals by year.

Note: A 1099 is only required once a vendor passes the IRS reporting threshold for the tax year the payments were made in. The threshold is $2,000 for payments made from 2026 onward, and $600 for 2025 and earlier years.

Pro Tips:- To avoid delays or missing amounts when filing 1099s, make sure your setup is complete before you submit. Vendor tax information should be filled out correctly. Missing or incorrect tax numbers can block validation later.- Transactions are assigned to vendors and categorized to accounts mapped to a 1099 box. Only these transactions are included in 1099 totals.- Only cash or bank payments are 1099-eligible. Payments made via credit cards or third-party platforms (PayPal, Stripe, Square, Shopify, Venmo and Zelle) are automatically excluded due to their own IRS reporting requirements. However, an individual account can override these rules. If a payment account should be counted despite being a third-party platform, or excluded even though it is a bank account, this can be set on the account itself.

Refunds received from a vendor and vendor credit notes reduce their 1099 total.

Updated on: 31/08/2026

Was this article helpful?

Thank you!