Sage does not currently have the ability to withhold state income tax on vendors, tract the income or withholding by state and report it for 1099 reporting at yearend. We need the ability to withhold state income tax on out of state A/P vendors providing personal services. We have had to create a work around since Sage is not programed to allow for tracking income and withholding by state. With more and more states requiring withholding on payments to out of state vendors, we need the ability to tract income and withholding at the state level on vendor payments.
by: Stephanie H. | over a year ago | Financial Management
Comments
As a work around you can enter the invoice for the full amount and report in the correct 1099 box, then enter a credit for the withholding and report in box 4 and it will track the 1099 information correctly.