Several important factors are involved in vendor onboarding, but these can make an inefficient process. Onboarding begins, naturally, with the collection of the requisite information. How an organization collects vendor data touches on accuracy versus error, completeness, privacy and security. An organization must validate vendor data to meet compliance requirements and ensure accuracy of the … How to Gain Efficiency in Vendor Onboarding
In the fourth quarter, accounts payable personnel must start planning for annual payment information reporting responsibilities, also known as 1099s. If you follow this newsletter regularly, you know what that entails. However, if you are new to 1099s or accounts payable (AP), here is essential information. Organizations, including not-for-profits as well as businesses, must report … 3 Things about IRS Form W-9
IRS Adds Multi-factor Authentication As is widely known, organizations with 250 or more 1099s must file them electronically. To do so, they first must register on the IRS FIRE (Filing Information Returns Electronically) System site and apply for a Transmitter Control Code (TCC), which is necessary to file 1009s and other tax forms via the … 1099s: IRS FIRE System Adding Greater Security
The U.S. government has a problem called the tax gap. The tax gap is the difference between total taxpayers’ liability and the actual amount of taxes paid. It is tax revenue that should be collected according to the tax code but is not. The gap comprises unfiled taxes, unreported income and underpaid taxes. The IRS … Bill Includes Money for IRS to Increase Enforcement
Vendor onboarding best practice includes getting a vendor’s tax identification number and classification on a W-9 or equivalent W-9 upfront with other vendor information. But what do you do if the vendor fails to give you that information? You’re going to need it. Ask Again Here are steps to take. The first is to ask … What To Do When a Vendor Doesn’t Submit a W-9
A Refresher What is a non-U.S. person? You need to know the answer to that in the context of payment reporting to the IRS. What income of a non-U.S. person do you have to report? These are just two of the many questions that arise when you gather tax IDs and classifications in preparation for … On Non-U.S. Persons and Source of Income
Have you gotten yours? Not tricks or treats, nor a political surprise. The other October surprise: CP2100s! Twice a year, in spring and fall, the Internal Revenue Service (IRS) sends out forms CP2100 and CP2100A. They address missing or incorrect taxpayer-identification numbers (TINs) on 1099 payment reporting. Whether you get a form 2100 or 2100A … October Blues: B Notices and Backup Withholding
It is that time of year. IRS Notices 972CG, proposed penalty notices, are out. The IRS typically starts mailing the notices in late July. The process continues through August. How do you “qualify” for a 972CG? Try filing 1099s late. Or fail to file at all! Penalties are also assessed for filing 1099s in the wrong … Responding to IRS Notice 972CG
You know what a vendor self-service portal is. But are you aware of all that a vendor portal can do? The forthcoming 2019 Financial Operations Networks survey on Accounts Payable Customer Service asked that question among many others. The result of that particular question revealed that while the most common functions of — and good … You Know What a Vendor Portal Can Do, Right?
Your checklist for ensuring vendor onboarding compliance and certification Companies’ vendor interactions are surrounded by a number of compliance requirements that add complexity to the procure-to-pay process and the supposed simplicity of paying the bills. A few vendor-related tasks that are driven by compliance requirements must be completed in the initial stages of a vendor relationship. These … Compliance Responsibilities in Vendor Set Up
It’s the end of October and there are just two months left in the year. In terms of calendar-related responsibilities, your unclaimed property reporting and escheatment should be done. Now you’re looking towards year-end, and right around that corner, 1099 reporting (with its January 31st deadline). That means it’s time to check on the state … You Can’t Always Get What You Want – Or Can You?