EAP: 1099 NEC COPY B IS NOT SHOWING CORRECT AMOUNT IN BOX 7 FOR STATE INCOME (Doc ID 2932798.1)

Last updated on MARCH 03, 2023

Applies to:

Symptoms

1099 NEC COPY B is not showing correct amount in BOX 7 for State Income

STEPS:
 

1. Withholding Entity setup - IRS, on the 2nd tab Entity Fields - Supplier make sure State Income Tax Withheld and State Income required checkbox is checked.

Set Up Financials/Supply Chain > Product Related > Procurement Options >Withholding > Withholding Entities 

2.Take an existing supplier for Setid SHR03 - Supplier - 0000000001
  Suppliers > Supplier Information Add/Update > Add/Update Supplier

  Mark the supplier Setid SHR03 - Supplier - 0000000001 as Withholding

3. On the Global/1099 Withholding - fill in the withholding information - make sure the withholding type is 1099N

4. In the Additional Info Tab- State Income Tax Withheld ($700) and State Income ($40000) is populated

5. Check the data in the PS_VENDOR_WTHD to verify

6. Suppliers > 1099/Global Withholding > Maintain > Adjust Withholding
  Enter a Withhold Adjustment entry for Supplier - 0000000001

7. Check data in the ps_wthd_trxn_tbl
  
  select * from ps_wthd_trxn_tbl where vendor_id = '0000000001'

8. Run 1099 Job
  Suppliers > 1099/Global Withholding > 1099 Reports > Withhold 1099 Report Job

9. Copy B shows- Box 1 as $800 (adjustment basis amt ), State Tax Withheld $700 (as per Supplier setup- State Income Tax Withheld) but the State Income field - box 7 is not populated.

Cause

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