Test Drive

The 1099 Test Drive feature allows you to take a “test drive” of the 1099 process without actually saving any data. This will allow you to become more familiar with the process before actually filing. You will only be displayed this dialog if you have not processed any 1099 filings for the current filing year. If you select to run the 1099 Wizard in test drive, you will not be able to save any of the information as a draft or a history to be used again.

Synchronization of data between Sage 500 and Aatrix

There are several ways for Sage 500 and the tax service (Aatrix) to become out of sync:

• When Sage 500 ERP submits data to the tax service, it has no way of knowing if the user modified any data within the tax service software. If they were to change a box amount, Sage 500 ERP will only know the value that was submitted, not the value that was ultimately used.
• If the user adds a 1099 to the ones submitted to the tax service using the tax service software, Sage 500 ERP will have no way of knowing this, so any Sage 500 ERP reports will not show the added 1099s.
• If 1099s are successfully submitted and saved using the tax service software, but the user fails to confirm this, Sage 500 ERP will report them as being new and not submitted.
• If 1099s are not successfully submitted and saved using the tax service software, but the user mistakenly confirms that they were submitted successfully, Sage 500 reports will list them as submitted, but they would not exist in the tax service software.

The only data within Sage 500 ERP that is updated after the call to Aatrix service is a status on the 1099 record that changes from new to submitted, and only does this based upon user confirmation.

Additional Resources:

• Sage University Course: 500E - Sage 500 ERP - Printing and eFiling 1099s
• To view the demo of Aatrix 1099 processing please launch the YouTube link: Aatrix 1099 YouTube video

Starting in calendar year 2016, Sage 500 ERP has begun using Aatrix Software’s 1099 software for processing 1099 forms and e-filing. Aatrix processing is supported for Sage 500 versions v2013 (Denali 7.5), v2014 (Rio 7.6), and v2016 (Oak 7.7) via product updates, and is included in the v2017, v2018, v2019, v2021 and v2023 release. Currently only year 2016 , 2017, 2018, 2019, 2020, 2021, 2022, and 2023 can be processed using Aartix service. The software to support tax years 2015 and prior are being left in the system for now, but they will not be updated. This includes the report files for the various 1099 forms. They are being left in the system to provide for a limited backwards compatibility.

To print or eFile 1099 forms for year 2017, 2018, 2019, 2020, 2021, 2022 and 2023 in Sage 500 access:

1. AP/Insights/Report/1099 Reports/1099 Forms (2016+), for v2023 its called '1099 Forms'
2. On the Main tab select 'Submit New' to generate a new submission that is to be sent to the tax service, and then select appropriate 1099 form, enter year 2021 (or prior), and enter the minimum 1099 amount.
3. On the Company tab verify the company address and enter correct Federal ID Number and/or State Tax ID Number. Please note that for the Federal ID Number, Tax Year, and Tax Form the tax service will only accept a single submission. What this means is that user can no longer make multiple new submissions, with each subsequent submission adding to the previous ones. It is advised to submit the entire group for the Federal ID Number, Tax Year, and Tax Form at one time. If a submission is made with a duplicate key (Federal ID Number, Tax Year, and Tax Form) that has been flagged as being submitted, then Sage 500 will alert the user to this situation with an option to abort submission. If the user chooses to proceed, all previous submission records within Sage 500 will be deleted and a new group will be submitted. Please note that this may cause the recipients to receive duplicate 1099s that are not corrections.
4. On the Vendor tab the selection grid is available for use but its use is generally discouraged when using the tax service. This is because the tax service cannot handle multiple submissions without starting over, meaning the previous submissions are deleted rather than added to.
5. Click on green arrow icon to proceed. This will launch 1099 Forms Service and than 1099 Setup Wizard.
6. In 1099 Setup Wizard select the appropriate option: test drive with only the first 25 vendors (employees), test drive with all vendors (employees), or final processing.
7. In the next screen verify that tax identification number is correct. The correction for the tax identification number can be done by returning back to step 3 above under the Company tab.
8. Click on Next and verify that Payer Information is correct, and than select the type of file (for your own company, or as a third party).
9. Click on Next and add any State and Local Tax Items if needed, and than click on Next
10. Leave the button 'No' selected for the question 'Do you have any recipients who elected to only receive 1099 forms electronically?'. This is because Sage 500 does not have the feature to email 1099 forms to vendors automatically.
11. Click on 'Next' and select the appropriate truncation of Recipient Identification Number on the recipient copies.
12. In the 'Multiple 1099 Data Files' always select 'No, I use a single 1099 data file for EIN' for Sage 500
13. Click 'Next' to open W2/1099 Preparer window.
14. Follow each verification step noted at the top of the W2/1099 Preparer grid, and click Next Step when applicable (it is very important that you verify all information in the grid because that is what will print on the actual 1099 form)
    Note: You can make changes to any field in the grid but the data will NOT be written back into your Sage 500 ERP company database. If you have a vendor that has zeros in all tax boxes and do not need to print a 1099, you can delete the applicable line by Right Clicking on Row Number and select Delete
15. After completing the verification steps, the Process W-2/1099 Filing Wizard window opens
16. Select the eFiling or printing options. This screen will allow you to only print 1099 and 1096 forms to plain paper for FREE by selecting 'Other Options' button and checking 'Print my Recipients 1099 Copies' box and/or 'Print Federal 1099s and 1096' box. All other options will be handled by Aatrix service. Please note that various fees can apply.
17. In the Based upon your selections, we need you to review data on the following forms: area, print your 1099 and 1096 forms as needed.
18. Click Next to open the Federal eFiling and Reporting window. 1099 and 1096 can be electronically filed or printed from this window
19. The eFiling process is powered by Aatrix. When the eFile option is selected, the login screen will display. One-time enrollment is required. Enrollment can be accessed from within Sage 500 or directly at https://efile.aatrix.com/pages/enroll/enroll.aspx?v=ATX000 Note: There is no charge for creating an account.
20. When the eFiling process is complete, an email confirmation is sent and the screen will display your AFID or Aatrix Filing Identifier. This number is assigned to the filing for tracking purposes. You will need the AFID number, if for any reason you need to contact Aatrix regarding your filing.