First, a big note: if you’re running GP2015 or older, there will be no year-end update this year, and you need to look at upgrade options as soon as possible (so be sure to contact us today!)
Big Changes to 1099 Forms
The IRS announced some big changes to reporting non-employee compensation and 1099 forms for the 2020 tax year. The 1099-NEC has moved non-employee compensation (box 7) off of the 1099-MISC to a new form: 1099-NEC. The other boxes have moved around. The Dynamics GP update will handle which box things go into (but note the new fields on the Vendor form below).
All clients running 1099-MISC and 1099-NEC for 2020 will need the Year-End Update (only available for Dynamic GP 2016 and higher, as mentioned above) applied.
To reiterate: ALL Dynamics GP 2016+ users NEED the 2020 year-end update applied before January. The update will not be released until November.
Dynamics GP 2015 and earlier clients who don’t plan to upgrade will not get this update and will have to find a workaround (another application to take a file from Dynamics GP and print their 1099 NEC out of that system). More information from IRS website or click here for 1099 info.
So contact your CAM or Crestwood support today to ensure you’re ready for these changes!