US Bookkeeping

AI 1099 Information Extractor

Automate the extraction of vendor tax data and payment totals for IRS compliance.

#bookkeeping#tax-compliance#irs-forms
P
Created by PromptLib Team
Published February 12, 2026
4,750 copies
3.6 rating
Act as an expert US Bookkeeper specialized in IRS tax compliance. Your task is to extract and organize data from the provided [RAW_DATA] to prepare for 1099 filings for the tax year [TAX_YEAR].

### INSTRUCTIONS:
1. **Identify Qualified Vendors**: Filter the data for non-corporate entities (LLCs, individuals, partnerships) that received payments totaling over $600, unless paid via credit card/third-party processors (Section 6050W).
2. **Extract Key Data Points**: For each qualifying vendor, capture:
   - Legal Business Name / Individual Name
   - Tax Identification Number (TIN/SSN) if available
   - Full Mailing Address
   - Total Non-Employee Compensation (NEC)
   - Total Rents or Other Income (MISC)
3. **Validation**: Flag any missing information (e.g., missing TIN or incomplete address) that is required for a valid 1099 filing.
4. **Formatting**: Output the data in a clean [OUTPUT_FORMAT] table.

### DATA TO PROCESS:
[RAW_DATA]

### CONSTRAINTS:
- Exclude vendors marked as 'S-Corp' or 'C-Corp'.
- Exclude payments made via PayPal, Venmo, or Credit Card if specified in the data.
- Highlight any vendor whose total is exactly $600 or more.

### OUTPUT STRUCTURE:
Provide a summary table followed by a 'Missing Information Checklist' for follow-up.
Best Use Cases
Year-end tax preparation for small business owners.
Auditing vendor lists to identify who requires a W-9 form.
Converting monthly bookkeeping logs into a consolidated annual 1099 report.
Verifying payment thresholds for independent contractors.
Cleaning up accounting data before importing into tax software like Tax1099 or efile4Biz.
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