Overview

If a Payer does not consider an individual (User) to be an employee and did not withhold income tax or social security and Medicare tax, it must issue a Form 1099-NEC. A Payer must file a Form 1099-NEC for each user to whom it paid at least $600 during the tax year in:

Services performed by someone who is not an employee (including parts and materials)
Cash payments for fish (or other aquatic life) you purchase from anyone engaged in the trade or business of catching fish
Payments to an attorney

You must also file Form 1099-NEC for each User from whom you have withheld any federal income tax under the backup withholding rules regardless of the amount of the payment.

Issuing a 1099-NEC Form

To issue a 1099-NEC form and initiate the filing process use an existing userId and payerId and call the POST /users/{userId}/documents API endpoint.

📘
Form 1099-NEC Guidelines

Only one (1) Form 1099-NEC is allowed per userId per payerId per year

To make changes to an existing Form 1099-NEC, delete it, and recreate it with your changes

Once the filing process has started, your Form 1099-NEC cannot be deleted

curl \
  --request POST \
  --url https://sandbox-api.withabound.com/<<apiVersion>>/users/<<testUserId>>/documents \
  --header 'Authorization: Bearer <<apiKey>>' \
  --header 'Content-Type: application/json' \
  --data '{
    "documents": [
      {
        "type": "1099nec",
        "year": 2022,
        "payerId": "<<testPayerId>>",
        "accountNumber": "1234567890",
        "nonemployeeCompensation": 234.23,
        "hasDirectSalesOver5000": false,
        "federalIncomeTaxWithheld": 0,
        "stateTaxInfo": [
          {
            "stateTaxWithheld": 0,
            "filingState": "CA",
            "payerStateId": "1234567891",
            "stateIncome": 3455.43
          }
        ]
      }
    ]
  }'

const fetch = require('node-fetch');

const url = 'https://sandbox-api.withabound.com/<<apiVersion>>/users/<<testUserId>>/documents';
const options = {
  method: 'POST',
  headers: {
    Accept: 'application/json',
    'Content-Type': 'application/json',
    Authorization: 'Bearer <<apiKey>>'
  },
  body: JSON.stringify({
    documents: [
      {
        type: '1099nec',
        year: 2022,
        payerId: '<<testPayerId>>',
        accountNumber: '1234567890',
        nonemployeeCompensation: 234.23,
        hasDirectSalesOver5000: false,
        federalIncomeTaxWithheld: 233.23,
        stateTaxInfo: [
          {
            stateTaxWithheld: 323.23,
            filingState: 'CA',
            payerStateId: '1234567891',
            stateIncome: 3455.43
          },
          {
            stateTaxWithheld: 323.23,
            filingState: 'AZ',
            payerStateId: '1234567892',
            stateIncome: 3455.43
          }
        ]
      }
    ]
  })
};

fetch(url, options)
  .then(res => res.json())
  .then(json => console.log(json))
  .catch(err => console.error('error:' + err));

import requests

url = "https://sandbox-api.withabound.com/<<apiVersion>>/users/<<testUserId>>/documents"

payload = {"documents": [
        {
            "type": "1099nec",
            "year": "2022",
            "payerId": "<<testPayerId>>",
            "accountNumber": "1234567890",
            "nonemployeeCompensation": 234.23,
            "hasDirectSalesOver5000": False,
            "federalIncomeTaxWithheld": 233.23,
            "stateTaxInfo": [
                {
                    "stateTaxWithheld": 323.23,
                    "filingState": "CA",
                    "payerStateId": "1234567891",
                    "stateIncome": 3455.43
                },
                {
                    "stateTaxWithheld": 323.23,
                    "filingState": "AZ",
                    "payerStateId": "1234567892",
                    "stateIncome": 3455.43
                }
            ]
        }
    ]}
headers = {
    "Accept": "application/json",
    "Content-Type": "application/json",
    "Authorization": "Bearer <<apiKey>>"
}

response = requests.request("POST", url, json=payload, headers=headers)

print(response.text)

// import com.squareup.okhttp.*;
// import com.google.gson.JsonObject;
// import com.google.gson.JsonArray;
// import com.withabound.AboundConfig;
// import com.withabound.models.*;
// import com.withabound.resources.base*;

AboundConfig aboundConfig = new AboundConfig(
  "<<sandbox_app_id>>",
  "<<sandbox_app_secret>>",
  AboundEnvironment.SANDBOX,
  AboundApiVersion.<<apiVersionUppercase>>
);

Abound abound = new Abound(aboundConfig);


String userId = "<<testUserId>>";
String payerId = "<<testPayerId>>";
String accountNumber = "1234567890";
Double nonemployeeCompensation = 234.23;

StateTaxInfoWithIncome stateTaxInfo_CA = StateTaxInfoWithIncome.builder()
  .filingState("ca")
  .payerStateId("1234567891")
  .stateTaxWithheld(323.23)
  .stateIncome(3455.43)
  .build();

StateTaxInfoWithIncome stateTaxInfo_AZ = StateTaxInfoWithIncome.builder()
  .filingState("az")
  .payerStateId("1234567892")
  .stateTaxWithheld(323.23)
  .stateIncome(3455.43)
  .build();

Form1099NECDocumentRequest toCreate = Form1099NECDocumentRequest.builder()
  .payerId(payerId)
  .accountNumber(accountNumber)
  .nonemployeeCompensation(nonemployeeCompensation)
  .year(2022)
  .stateTaxInfo(Arrays.asList(stateTaxInfo_CA, stateTaxInfo_AZ))
  .build();

AboundBulkResponse<Document> response = abound.documents()
  .create(userId, Collections.singletonList(toCreate));

System.out.println(response.getData());

package main

import (
    "bytes"
    "fmt"
    "net/http"
    "io/ioutil"
)

func main() {

    url := "https://sandbox-api.withabound.com/<<apiVersion>>/users/<<testUserId>>/documents"

    var requestBody = []byte(`{
        "documents": [
            {
                "type": "1099nec",
                "year": 2022,
                "payerId": "<<testPayerId>>",
                "accountNumber": "1234567890",
                "nonemployeeCompensation": 234.23,
                "hasDirectSalesOver5000": false,
                "federalIncomeTaxWithheld": 233.23,
                "stateTaxInfo": [
                    {
                        "stateTaxWithheld": 323.23,
                        "filingState": "CA",
                        "payerStateId": "1234567891",
                        "stateIncome": 3455.43
                    },
                    {
                        "stateTaxWithheld": 323.23,
                        "filingState": "AZ",
                        "payerStateId": "1234567892",
                        "stateIncome": 3455.43
                    }
                ]
            }
        ]
    }`)

    req, _ := http.NewRequest("POST", url, bytes.NewBuffer(requestBody))

    req.Header.Add("Accept", "application/json")
    req.Header.Add("Content-Type", "application/json")
    req.Header.Add("Authorization", "Bearer <<apiKey>>")

    res, _ := http.DefaultClient.Do(req)

    defer res.Body.Close()
    body, _ := ioutil.ReadAll(res.Body)

    fmt.Println(res)
    fmt.Println(string(body))

}

// using RestSharp;

var client = new RestClient("https://sandbox-api.withabound.com/<<apiVersion>>/users/<<testUserId>>/documents");
var request = new RestRequest(Method.POST);
request.AddHeader("Accept", "application/json");
request.AddHeader("Content-Type", "application/json");
request.AddHeader("Authorization", "Bearer <<apiKey>>");
request.AddJsonBody(new {
  documents = new[] {
    new {
      type = "1099nec",
      year = 2022,
      payerId = "<<testPayerId>>",
      accountNumber = "1234567890",
      nonemployeeCompensation = 234.23,
      hasDirectSalesOver5000 = false,
      federalIncomeTaxWithheld = 233.23,
      stateTaxInfo = new[] {
        new {
          stateTaxWithheld = 323.23,
          filingState = "CA",
          payerStateId = "1234567891",
          stateIncome = 3455.43
        },
        new {
          stateTaxWithheld = 323.23,
          filingState = "AZ",
          payerStateId = "1234567892",
          stateIncome = 3455.43
        }
      }
    }
  }
});
IRestResponse response = client.Execute(request);

require 'uri'
require 'net/http'
require 'openssl'
require 'json'

url = URI("https://sandbox-api.withabound.com/<<apiVersion>>/users/<<testUserId>>/documents")
requestBody = {
  documents: [
    {
      type: '1099nec',
      year: 2022,
      payerId: '<<testPayerId>>',
      accountNumber: '1234567890',
      nonemployeeCompensation: 234.23,
      hasDirectSalesOver5000: false,
      federalIncomeTaxWithheld: 233.23,
      stateTaxInfo: [
        {
          stateTaxWithheld: 323.23,
          filingState: 'CA',
          payerStateId: '1234567891',
          stateIncome: 3455.43
        },
        {
          stateTaxWithheld: 323.23,
          filingState: 'AZ',
          payerStateId: '1234567892',
          stateIncome: 3455.43
        }
      ]
    }
  ]
}

http = Net::HTTP.new(url.host, url.port)
http.use_ssl = true

request = Net::HTTP::Post.new(url)
request["Accept"] = 'application/json'
request["Content-Type"] = 'application/json'
request["Authorization"] = 'Bearer <<apiKey>>'
request.body = requestBody.to_json

response = http.request(request)
puts response.read_body

Response

{
  "data": [
    {
      "documentId": "documentId_testefbd5d3d9ee9526ef9ff89a7c6b879174170",
      "documentURL": "https://tax-documents-sandbox.s3.us-west-2.amazonaws.com/test62ae93bafa6310aa9952e8b3bf5796443111/2022_Form_1099-NEC.pdf?AWSAccessKeyId=AKIA6C6AUYYBZMXK74XQ&Expires=1630423763&Signature=TZnExYSnxm2dzM%2Bof7EfCOiSG34%3D",
      "documentName": "2022 Form 1099-NEC",
      "type": "1099nec",
      "year": "2022",
      "status": "created",
      "createdTimestamp": 1628275165630
    }
  ]
}

Form 1099-NEC Fields

Below is the Form 1099-NEC with fields overlaid. Note that some fields have been shortened to fit.

Form 1099-NEC Definitions

Field	Form 1099-NEC	Description
`documentId`	--	The unique id generated by Abound® API to designate this document. Store this value in your database.
`status`	--	The status generated by Abound® API. Possible statuses include: `created`, `verifying`, `pending`, `error`, and `done`.
`type`	--	This specifies the Form 1099 type, in this case, enter `1099nec`.
`payerId`	--	Unique ID associated with the Payer. Store this value in your database.
`year`	--	This is the tax year associated with the Form 1099-NEC.
`isCorrected`	Corrected Box	(Optional) If `true`, the corrected checkbox will be marked on the document. Defaults to `false`.
`accountNumber`	Account number	If the Payer assigns the contractor a unique number for its records, enter the account number in this box. If not, leave the box blank.
`nonemployeeCompensation`	Box 1 -- Nonemployee compensation	($) Total amount remitted by Payer to Recipient during a year
`hasDirectSalesOver5000`	Box 2: Direct sales (checkbox)	If checked, consumer products totaling $5,000 or more were sold to Recipient for resale, on a buy-sell, a deposit-commission, or other basis.
`federalIncomeTaxWithheld`	Box 4. Federal income tax withheld	Abound currently does not support non-zero values in this field. Please contact us for more information.
`stateTaxWithheld`	Box 5. State tax withheld	Abound currently does not support non-zero values in this field. Please contact us for more information.
`filingState`	Not displayed on form.	Abbreviation for the state to which the 1099 will be reported.
`payerStateId`	Box 6. State/ Payer's tax no.	Up to two (2) states per Form 1099-NEC.
`stateIncome`	Box 7. State income	($) Up to two (2) states per Form 1099-NEC.

Overview

Issuing a 1099-NEC Form

📘Form 1099-NEC Guidelines

Response

Form 1099-NEC Fields

Form 1099-NEC Definitions

📘
Form 1099-NEC Guidelines