Tax

Path: Business functionality > Local functionality > United States > Tax · tier official · system localization · narrative reviewed (checked by Opus)

Overview

This section covers tax functionality specific to the US version. One group of pages handles sales and purchase taxes: basic tax setup (Tax Setup page, default G/L accounts, nontaxable sales group code), sales tax details, jurisdictions and groups, use tax and purchase tax, and unrealized sales tax with sales payment discounts.

The other group covers IRS reporting. It includes an introduction to the 1099 forms (MISC, NEC, INT, DIV), setup of 1099 forms and reporting periods, tracking 1099 data on purchase documents, regulatory box format changes, submission to the IRS, and the 1096 transmittal form for paper 1099s.

Start with Basic Tax Setup and Sales tax for general tax configuration. For 1099 work, read the introduction first, then the setup pages, then tracking and submission. Several 1099 pages carry version notes. The regulatory format changes are available from version 24.0 and mandatory from version 27.0. The 1099 setup is enabled automatically from version 27.0. Check the version notes on each page.

Key points

• Basic tax setup uses the Tax Setup page to define tax information, group codes and default accounts for tax posting.
• Sales tax is configured through the Tax Details page, tax jurisdictions and tax groups, with a Copy Tax Setup task.
• Separate pages cover use tax, purchase tax, and unrealized sales tax with sales payment discounts.
• The 1099 forms supported are 1099-MISC, 1099-NEC, 1099-INT and 1099-DIV, with IRS submission and Copy B vendor copies.
• 1099 setup covers reporting periods, form box configuration, vendor mapping, TIN protection and 1099 codes and amounts on purchase documents and vendor ledger entries.
• Regulatory 1099 box format changes are available from version 24.0 and mandatory from version 27.0, applied with the Update Form Boxes action.
• 1099 forms can be submitted through IRIS or magnetic media, with transmission status, error handling, corrections and email delivery.
• Form 1096 is enabled in Feature Management, needs a number series, and is created, replaced, released and printed per tax period.

Learn pages

• Basic Tax Setup in the US Version: Learn how to set basic tax data and apply default accounts for posting calculated tax information.
• Introduction to the IRS 1099 tax forms [US]: Discover the purposes and methods for using IRS 1099 Tax Forms in the US.
• Regulatory 1099 format changes and details: Learn about the changes applied to the IRS 1099 tax form regarding the required codes for payments to vendors.
• Report and submit the IRS 1099 form [US]: Learn how to submit and report the 1099 tax form in the United States version.
• Sales tax in the US Version: Understand the setup of sales tax, including how tax groups, tax areas (such as states, counties, cities, and localities), tax jurisdictions, and tax details work.
• Set up and use the IRS 1096 form [US]: Learn how to set up the 1096 tax form boxes so that you can submit the required reports.
• Set up and use the IRS 1099 form [US]: Learn how to set up the 1099 tax form boxes so that you can submit the required reports.
• Set up IRS 1099 forms: Learn how to set up the 1099 tax forms so that you can calculate and submit the required reports.
• Set Up Use Tax and Purchase Tax [US]: This article explains how sales tax includes taxes that companies pay for using items in the US version.
• Track data and use the IRS 1099 form: Learn how to post documents to calculate information for your 1099 tax forms.
• Unrealized sales tax and sales payment discounts: You can use the General Ledger Setup page to set up unrealized sales tax in the US version.

Videos, posts and code changes

Linked by a Haiku matcher with a grounding quote from the item’s summary (link/topics.ts); machine-generated.

• #10884 [Bug Fix] Fix recurring journal background posting for IRS 1099 invoice lines (US) (code change): “Background posting of recurring journals no longer fails with a ‘scheduled for posting’ error on IRS 1099 invoice lines”
• What’s New: IRS1099 Integration with IRIS (2025 release wave 2) (video): “1099 electronic filing to IRS; 1099 form documents; IRS transmission”
• What’s New: Automated IRS1099 Reporting (2024 release wave 1) (video): “Automated IRS1099 Reporting; 1099 reporting; irs integration; us tax forms; vendor setup”

Business Central pages and reports

The pages, reports and queries this hub’s Learn pages name (ms.search.form, API reference), joined to the code by exact object id (data/index/docs-objects.json); a page shows the table it runs on.

• Page 26 “Vendor Card” · on Table 23 “Vendor”
• Page 29 “Vendor Ledger Entries” · on Table 25 “Vendor Ledger Entry”
• Page 50 “Purchase Order” · on Table 38 “Purchase Header”
• Page 51 “Purchase Invoice” · on Table 38 “Purchase Header”
• Page 132 “Posted Sales Invoice” · on Table 112 “Sales Invoice Header”
• Page 315 “VAT Entries” · on Table 254 “VAT Entry”
• Page 466 “Tax Jurisdictions” · on Table 320 “Tax Jurisdiction”
• Page 467 “Tax Groups” · on Table 321 “Tax Group”
• Page 468 “Tax Details” · on Table 322 “Tax Detail”
• Page 469 “Tax Area List” · captioned “Tax Areas” · on Table 318 “Tax Area”
• Page 485 “Tax Setup” · on Table 326 “Tax Setup”

Learn also names 19 objects with no object page: page/10015, page/10016, page/10018, page/10019, page/10020, page/10021, page/10030, page/10031, page/10033, page/10034, page/10036, page/10037, page/10048, page/10049, page/10050, page/10051, page/10101, page/10900, page/100136.

Source: Microsoft Learn (CC BY 4.0). Descriptions are Learn’s own.