1099 Tax Forms | Federal and State E-filing and Print Options

Through Rentec Direct, you can file owner and vendor Federal and State 1099-MISC and 1099-NEC forms electronically and use the service which will print and mail the forms on your behalf. 

Recommended Preparation Prior to Using the 1099 Federal and State E-Filing and Print Options

Verify you have the correct federal tax id number for each owner and vendor. For individuals, this is their social security number (SSN) and for a business, it would be their employer identification number (EIN). If you do not have an SSN or EIN number you can enter zeros.  Important Note: Make sure to have a W-9 on file for each vendor and owner.

Verify the accuracy of the mailing address for each vendor and owner. The address is where their copy of the 1099 form will be mailed to which they will be using for the personal or corporate tax return. Military APO addresses are accepted, however, any other addresses outside of the US can not be used.

Update a Tax ID, Address, or Name for a Vendor 

In your Rentec Direct account:

1. Click Settings.
2. Click Manage Vendors & Payees under the People section.
3. Right-click on your choice and then Edit Vendor from the menu. 
4. Update the information for the vendor or payee. 
   
   System Note: Check the 1099 box and choose Non-Employee to signal Nelco Solutions to produce the 1099-NEC form or choose Other to produce a 1099-MISC form. To learn more about those two forms, check out the Frequently Asked Question section below. 
5. Click Save Changes when finished.

Update a Tax ID, Address, or Name for an Owner

In your Rentec Direct account: 

1. Click Owners.
2. Right-click the Owner and choose Edit Owner from the menu. 
3. Update the information for the owner.
4. Click Save Changes when finished.

Verify the financial data and accuracy of data-entry numbers. It is never too early to begin auditing your data. The software provides a 1099 Tax Assistant Report to review and confirm the numbers match your records. 

Review the 1099 Tax Assistant Report 

In your Rentec Direct Account: 

1. Click Reports. 
2. Click on the Financial Reports section. 
3. Click on the 1099 Tax Assistant option.

Note: The information found in this report is the same data used for creating the 1099 E File. This report and the 1099 E file system will utilize the rents received and vendor payments entered throughout the year. 

Important Note: For information to be included on this report (and ultimately to the creation of your 1099s) to ensure your reported 1099s information is accurate: 

• All properties will need to be "active" in order to be included in EOY (End Of Year) reporting. If your properties have been archived, you will need to re-activate them in order to include them in your 1099 filings. 
• Be sure all reportable transactions are categorized because if you leave any transaction 'uncategorized' it will not affect 1099s. 

Instructions for creating categories can be found here: Setting Up Categories | Chart of Accounts

Instruction for editing transactions can be found here: Edit, Correct, or Delete Transactions

How to Reactive a Property

In your Rentec Direct account: 

1. Click Properties.
2. Click the Archives option on the main menu. 
3. Right-click on the Property and choose Re-Activate from the drop-down menu. 

How to Use the 1099 e-File and Print Service

1099 MISC and 1099 NEC E-Filing and Print options are handled through an IRS approved 3rd Party (Nelco) who will bill separately for the service. You have full E-file functionality with the IRS as well as a Mail Out To Recipients and Print option. 

In your Rentec Direct account: 

1. Click Settings.
2. Under Tools click Utilities. 
3. Click on the 1099 E-File and Print option.

If the information is not complete, you'll be required to update it before being allowed to submit your forms.

Important Note: This tool automatically enters the Rent Received totals for each of your owners rather than Distribution totals. If you believe that you are required to report the amounts distributed to your owners rather than the amount of rent received, update these totals on our tool before continuing to the next step. The Distribution totals are displayed on the 1099 Tax Assistant report along with the Rent Received totals.

After using Rentec Direct to submit your forms to Nelco, you will then be able to create an account with them and login to their website which will provide you with further options such as Federally E-Filing your forms, use their Recipient Delivery service to mail out the forms, or both.

If you are logged into the Nelco website and are not able to see the screen below, click on Manage Account, and update your password. Nelco requires that your password be reset every year.

Verify all Data-Entry for Accuracy Prior to 1099 Filing 

Important Note: It is extremely important to verify all information before E-Filing your forms. Once you have paid to E-File a form, neither Rentec Direct or Nelco will have the ability to stop or make any changes to your submitted forms. After a form has been E-Filed, if you need to make a correction, you may be offered the option to file the corrections on the Form Filing History screen in Nelco by clicking the edit button on the 1099 or by contacting the IRS directly to submit a change request.

While processing the forms, you will be able to preview them and print out a summary report and a detailed report. However, you will not have access to print any 1099 MISC and 1099 NEC forms until after you've paid to E-File them or use the Recipient Mail & Online Retrieval service.

Instructional Video

The following video walks you through the process of submitting your 1099-MISC and 1099-NEC tax forms with Rentec Direct through the Nelco Dashboard. Note: Pricing details and frequently asked questions are located below this video.