Vendor Settings for 1099 Eligible Tracking
Prior to issuing a payment to any Vendor you should first request they complete & return to you a Form W9. You'll want to save this form in your files. Next, you would set them up inside your QB file by going to the Vendor Center in QuickBooks located simply enough under "Vendors-Vendor Center
Click the button for New Vendor or locate a prior vendor to edit.
Input a Vendor Name,complete the Address Info fields & Under Tax Settings Input the Vendor Tax ID and check box indicating 1099 eligible
By having your Vendors flagged as 1099 eligible prior to paying them; it will make year-end 1099 reporting much easier.