Question

1099 for INACTIVE Vendors

Forum|Forum|11 months ago
August 1, 2025
1 reply
10 views

I would like to confirm that when a Vendor is made Inactive, the 1099 will still be generated without having to change their status later. I understand that the transaction all remain and they don't show up in the drop-down lists, but would also like to make sure that QB is smart enough to know that they still need a 1099 and nothing special needs to be done in order for INACTIVE Vendors to be included the following year for 1099.

QuickBooks Online

Morgan_B

QuickBooks Team

Thanks for joining us here in the Community, gr3ggr1ff1n.

You've come to the right place for assistance. I'm happy to provide some info about 1099s for inactive vendors in QuickBooks Online.

Your vendor(s) in question will need to be active in order to track for 1099 filing purposes. There are a few steps that can help you locate and change the status of those inactive vendors. This can be done with a 1099 report:

Search for Vendor Contact List and open the report.
Select Customize.
In the Rows/Columns section, select Change columns.
Select the Track 1099 checkbox.
In the Filters section, select Deleted and change the ▼ dropdown to All.
Select Run Report.
Select Sort and under Sort by choose Track 1099, to sort your contractors.
If you see a missing Vendor, you can change their status, or continue to the next step.
1. Select their name.
2. Select Make Active.
If they have No under Track 1099.
1. Select their name.
2. Select Vendor Details.
3. Select Edit ✎.
4. Mark the Track payments for 1099 checkbox then select Save.

I'm linking an article below that contains additional details about the steps mentioned above, as well as one with more info about creating and filing 1099s:

Please don't hesitate to drop a comment below if you have any other questions. The Community always has your back.

G

gr3ggr1ff1nAuthor

I'm not sure you understand or I understand.

Let's say that in 2025 I have 50 Vendors that receive payments and will need a 1099 in 2026, but during the year of 2025 they become INACTIVE. Still in 2025, I want to make them Inactive so I don't see them in dropdowns and to make sure no other payments go to them. They have transactions in 2025 and therefore must get a 1099 in 2026.

Are you telling me that in 2026 I will have to go and make all them active once again, run the 1099 to include all of them and make sure they each get a 1099, and then make all of them inactive again?

Morgan_B

QuickBooks Team

I appreciate the additional details, gr3ggr1ff1n.

Yes, you're correct. According to the "Missing contractors or wrong amounts" article, inactive vendors will need to have their status changed to active for 1099s.

I'm only a comment or post away if you have any other questions. Take care!

Sign up

Login with SSO

Let's get you signed in

Login with SSO