USA: Preparing 1099 Reports

USA: Preparing 1099 Reports

Loft47 does not file your 1099 tax reporting, we provide the information not the filing mechanism to file forms either digitally or paper based. We recommend Track1099 or Tax1099 to complete the IRS filing, or send the information to your accountant to complete the filling.  For the full tax preparation checklist, click here

Tax Settings (Turn on Reporting)

  • Turn on your reporting by adding the year(s) in the Allowed Tax Years field.

  • Enter your Threshold amount in Tax Reporting Threshold field.

  • Set your Other Income/Mentor Fee Income reporting

 

First Year

For your first year with Loft, please review the following information and update us as soon as possible. In order to prepare your year-end contractor statements, we will need confirmation on the following items: 

  • Your business tax number (on the Brokerage edit Menu)



Agent & Company Tax Numbers

From the Tax Report menu, you can export a CSV file to review which people and companies are missing their Tax IDs. If an Agent is paid to their own name, you'll add their SIN or SSN into the SSN/SIN field and If  paid out to their company name, please add their GST or EIN# in both fields, see below and to learn more read here.



Determine How you'll Report

When setting up your fees during onboarding, we always default (unless directed otherwise) to set your deductions/fees to NOT net out Gross Commission incomes.  

If you’re unsure which deduction is netting out your GCI, you can head over to the Deduction Template page, under your Brokerage menu, and you can visually check there (Don’t forget to check all pages!) For more information on Determining How you report and Deduction settings, click here


If you need to switch those deductions to NET out the GCI, you can alter any or all as such by clicking the pencil next to the deduction and in the general settings section of the deduction, add a checkmark to Reduce 1099/T4A checkbox. Save your changes.


Tax Return Reports

  1. Head to Reports>Tax Returns Report
  2. Add the Year
  3. (Optional)The default setting for the downloaded files for the Brokerage is to include any Agent that had transactions and was active for any length of time in the specified tax year. If you want to pull in any deactivated / inactive Agents that were inactivated in years prior to the current year or if you want to include all the external Brokerage’s payouts you can choose to add them from the filter. Please note, government filing requires Tax IDs, so if you are reporting for Outside Brokers you'll need to add their Tax IDs.


   4. Download to your preferred file format 

Pulling an Agent's individual T4A

 Agents will be able to print a PDF of their records via their Profile under the Tax Return Section of their profile.

For more information on filing your report, visit here

Thank you :) 


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