SOURCE: The Accounts Payable Network
November 08, 2010 11:16 ET
New 1099 Legislation and Increased IRS Enforcement to Impose Stiffer Penalties Introducing 1099-MISC Reporting Certification Program
ATLANTA, GA--(Marketwire - November 8, 2010) - Newly passed 1099 legislation with more complex regulations along with increasing IRS enforcement will impose much stiffer penalties for noncompliance. Although the strained economy has forced many organizations to do more with less, the Internal Revenue Service has recently hired more than 2,000 auditors with plans to begin audits on 100% of 1099 information returns. The IRS crack down has serious implications for 1099 filers.
To help 1099 filers successfully navigate the increasingly complicated information reporting landscape, The Accounts Payable Network (TAPN) and IRSCompliance (IRSC) are pleased to announce The Information Reporting Certification Program, dedicated to training and certifying finance professionals who perform the complex tasks of information reporting on Form 1099-MISC and related forms. This certification program was developed to ensure that accounts payable and tax compliance departments are well prepared to implement the procedures and processes required to comply with the new and pending federal and state legislative initiatives.
"The numerous regulations recently passed by Congress dramatically increase the volume of 1099s that will be incurred by all companies. This is coupled with increased focus on enforcement and audits by the IRS on 1099 and 1042-S filers and penalties that nearly double. Today it has never been more important to prepare by supporting the ongoing education that ensures the responsible staff has the knowledge necessary to comply with all aspects of opening accounts, documenting payees, issuing payments, withholding and filing information returns," said Lynda Foertschbeck, Executive Vice President, IRSCompliance, Inc. "IRSCompliance is very excited about the 1099 certification program for all business areas that are involved with the payee and payment process."
The Information Reporting Certification Program sets the standard for information reporting compliance excellence. This program recognizes, certifies and validates the knowledge and skill set of accounts payable and tax professionals responsible for information reporting and compliance. With renewed focus on compliance, it's increasingly important for medium and large-size organizations to have an expert on staff. This program is dedicated to those who work behind the scenes to ensure that their organizations are in compliance to avoid unwanted IRS harassment, penalties, and the embarrassment of public scrutiny.
"Complying with expanding and increasingly complex local, state and federal laws and regulations continues to become more and more time consuming and subject to greater risk, with increased enforcement and stiffer penalties," said Phil Binkow, CEO of The Accounts Payable Network (TAPN). "1099 information reporting leader IRSCompliance strongly complements The Accounts Payable Network's significant investments in 1099 information reporting content and tools. The IRSC team brings a wealth of knowledge to the entire information reporting compliance process, making it understandable, simpler and more efficient. We're very excited to be working with them."
About The Developers of the Information Reporting Certification Program
IRSCompliance.org is a resource for the benefit of the business 1099 filing community. It provides valuable tools for filers to easily access research materials, information relative to 1099, W-2 and 1042-S information reporting requirements, and regulations. IRSCompliance.org contains up-to-date information on existing regulations, federal and state legislative initiatives and recent legislation that impacts documentation of payees, information returns and withholding.
The Accounts Payable Network
The Accounts Payable Network (TAPN) provides financial professionals who are responsible for accounts payable with a deep comprehensive, and convenient online database of AP best practices, downloadable business tools, benchmarks, case studies, and technology evaluations. Accounts Payable Network members tap into solutions for AP strategies, technology, staffing and processes to:
- Measure and improve accounts payable processes for optimum efficiency and cost savings;
- Save managers and their organizations time and money;
- Ensure effective leadership; and,
- Provide new insights and analyses to keep on top of the latest AP and related developments.
With ever-changing federal and state legislative regulatory requirements, the financial risks for any organization subject to U.S. 1099 reporting laws could be significant if staff is not fully prepared. Organizations could face steep fines and the possibility of embarrassment by having to make public disclosures of penalties or risks that may exist within the organization due to failure to comply with the regulations on withholding and information reporting. Certification ensures that staff has the knowledge and skill sets to protect their organizations from devastating and unexpected fines and penalties.