How to Upload Data to File 1099-K Forms

An easy guide to filing Form 1099-K in bulk with TaxBandits!

We are breaking down step by step how to bulk upload data and file 1099-K forms with TaxBandits!

Once you’ve signed in to TaxBandits, select ‘Start New’ in the upper right corner:

Select form 1099-K:

Verify the tax year you are filing for:

Click ‘Start Now’ under ‘Upload Excel Template’:

Begin by providing the business information. You can enter the information manually, or select a business from your address book by clicking ‘Select Business’

You will be directed to review and verify the USPS Recommended Address, ensuring the address for the business is accurate, then select ‘Continue’.

Click ‘Download Template’ and choose your preferred download format.

Open and fill in the template by providing information for each recipient in a different line and filling out columns A-AW as needed for each recipient. 

Columns A – S are used to report recipient details.

Note:

  • Column K through O are ONLY required IF the recipient has a foreign address, otherwise you can leave them blank.
  • Column P is used to indicate if you would like to provide the recipient with electronic access to their form. If you are providing the recipient with online tax form access, you will need to add their email address in column Q as well.

Column T through Z is used to report filer information, PSE information, and other form details.

Note: 

  • Column Y is for the account number. An account number is required if you have multiple accounts for a recipient for whom you are filing more than one Form 1099-K. 

Column AA

Box 1a. Gross amount of payment card/third party network transactions 

The gross amount of the total reportable payment card/third-party network transactions for the calendar year is reported here.

The ‘gross amount’ is referring to the total dollar amount of total reportable payment transactions for each participating payee without regard to any adjustments for:

  • Credits
  • Cash equivalents
  • Discount amounts
  • Fees
  • Refunded amounts
  • Any other amounts

Note: 

  • The dollar amount of each transaction is determined on the date of the transaction.
  • A TPSO (Third Party Settlement Organization) is only required to report any information concerning third-party network transactions of any participating payee if the gross amount of total reportable payment transactions exceeds $600 for the calendar year.

Column AB

Box 1b. Card Not Present transactions

For transactions where the card was not present at the time of the transaction or the card number was keyed into the terminal, report the gross amount of the total reportable payment card/third party network transactions for the calendar year here.

For example:

  • Online sales
  • Phone sales
  • Catalogue sales

The ‘gross amount’ is referring to the total dollar amount of total reportable payment transactions for each participating payee without regard to any adjustments for:

  • Credits
  • Cash equivalents
  • Discount amounts
  • Fees
  • Refunded amounts
  • Any other amounts

Note: The dollar amount of each transaction is determined on the date of the transaction.

Column AC

Box 2. Merchant category code

The four-digit MCC must be listed here.

The MCC is a merchant category code used by the payment card industry to classify the payee for the payment card transactions reported on this Form 1099-K.

If you or the entity you are filing for uses an industry classification system other than, or in addition to, MCCs, assign to each payee an MCC that most closely corresponds to the description of the payee’s business. 

Note: 

  • Skip this box if you or the entity on whose behalf you are filing either:
    • Is a TPSO (Third Party Settlement Organization) 
    • Or, does not use any industry classification system for its payees
  • If a payee has receipts classified under more than one MCC, you may either:
    • File separate Forms 1099-K reporting the gross receipts for each MCC
    • Or, file a single Form 1099-K reporting total gross receipts
      • In this scenario, you would report the MCC that corresponds to the largest portion of the total gross receipts.

Column AC

Box 3. Number of payment transactions

The number of payment transactions processed through the payment card/ third-party payer network should be entered here. This doesn’t include refund transactions.

Column AC

Box 4. Federal income tax withheld

Backup withholding is reported here.

Individuals who haven’t furnished their TINs to you in the manner required are subject to backup withholding on payments required to be aggregately reported in box 1a. 

Note: 

  • Payments made by a TPSO (Third Party Settlement Organization) are reportable payments that may be subject to section 3406 backup withholding. 
  • For additional information on backup withholding, please refer to part N in the current General Instructions for Certain Information Returns.

Column AD through AQ

Box 5a through 5l

The gross amount of the total reportable payment transactions per month for the calendar year should be entered in the box for the corresponding month.

Enter in the appropriate box the gross amount of the total reportable payment transactions for each month of the calendar year.

Column AR

Box 6a. State

Complete as needed.

Column AS

Box 7a. State identification no.

Complete as needed.

Column AT

Box 8a. State income tax withheld

Complete as needed.

Column AU

Box 6b. State

Complete as needed.

Column AV

Box 7b. State identification no.

Complete as needed.

Column AW

Box 8b. State income tax withheld

Complete as needed.

Once the template is complete, save an updated copy to your computer and return to the page in TaxBandits where you downloaded the template. Drag and drop the file into the outlined field or select the file from your computer, then click “Upload”.

Select if you would like to overwrite any 1099-K forms that were previously created for these recipients under this business and tax year or if you would like to keep the previously created forms and create new forms with the upload. If you have not created forms for these recipients yet, just click ‘Yes, Overwrite’.

Once uploaded, you will receive a preview of the forms. The preview will state the total number of records received, and allow for review. Once you have reviewed your forms, click ‘Continue To Import’.

Once imported, you will get a review of how many total records, how many were successfully uploaded, and how many records had errors. If you have errors, you can click the error button to review the provided error information. You can then make the necessary changes and reupload your template. 

Click ‘Continue Filing’ once all records have been uploaded successfully.

Here you can choose to begin a new form, edit or preview the recently filed form, adjust your services, or continue filing.

Review the summary of the forms you are about to file. If you need to edit the forms, click ‘Back’ and follow the prompts. Otherwise, click ‘Continue’.

Update any errors, then click ‘Continue’:

Review your cart and make sure only the businesses whose forms you are ready to file are in the ‘Cart Summary’. Any other businesses with generated forms should be listed under ‘Saved for Later’. Review your order details, then click ‘Complete Your Order’ to continue filing.

When using prepaid credits, there is no need to enter or process a credit/debit card to file. Simply select ‘Confirm and Transmit’:

Once your form has been successfully transmitted, you will receive a confirmation message in your TaxBandits account as well as an email.

Ready to create your free TaxBandits account and get started? 

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