New 1099-NEC Tax Form for 2020

To allow for different reporting deadlines, the IRS has created a new 1099-NEC “Nonemployee Compensation” form for the 2020 tax year.  The new form reports non-employee compensation that was previously reported on the 1099-MISC.  Preparations are in process by Sage Direct, our preferred tax form vendor and the Imaging Solutions Team to accommodate the new form.  The CU*BASE changes will be included in the 20.12 release.

If your credit union uses a vendor other than Sage Direct for tax forms, be sure to touch base with them to make sure they are aware of this IRS change.