Understanding 1099 automation
The integration of e-filing with AP workflows transforms tax processing from a year-end scramble into an automated, year-round system that works quietly in the background.
Key form types
- Primary focus on 1099-MISC and 1099-NEC forms
- Automatic categorization of payments
- System assigns appropriate form type based on vendor and payment data
Error prevention & validation
- Real-time tax ID number validation
- Automatic checks for missing information
- Early alert system for potential issues
- Proactive problem-solving before deadlines
Audit & record-keeping benefits
- Complete digital paper trail
- Easy access to historical records
- Simplified audit preparation
- Efficient vendor dispute resolution
- Elimination of manual record-keeping
How Routable’s 1099 automation works
Let’s break down how automation actually works in practice with Routable:
- Vendor onboarding: Tax forms and information are collected automatically and stored securely during initial setup, eliminating manual data entry.
- Compliance verification: The system automatically verifies TIN numbers and checks vendor information against global watchlists.
- Data collection and review: Easily see which vendors are missing tax forms, request the forms in bulk, and payment records are cross-referenced with your ERP system.
- Smart filtering: Choose which data to export with filters for multiple 1099 and 1042 document types.
- Export and filing: Generate e-filing compatible reports with just a few clicks, ready for submission through services like Tax1099 and Track1099.
