Collecting tax documents for 1099 filings

You can easily and securely request and manage tax documents (W-9s for U.S recipients) right from your Recipients page in Mercury. 

You can send requests in bulk, track which recipients have submitted their information. From there, we’ll parse certain documents allowing you to export the data for seamless 1099 filing come tax season.

Requesting tax documents

For new recipients (e.g. vendors, contractors, freelancers, etc.):

Follow the Invite Recipient flow and be sure to select Request tax documents (W-9s) when setting up your recipient’s invite. We’ll email your recipient a secure link to provide their details and tax documents. Here is more on how to add and invite recipients to your Mercury account. 

For existing recipients:

1. Go to your Recipients page.
2. Multi-select as many recipients as needed to request tax documents in bulk and click Request Tax Docs.
   • To send a single request, simply click the + beside the recipient you need documents for. 
   • If any recipients are missing email addresses, you’ll be prompted to add them before sending the request(s).
3. Once sent, recipients will receive a secure link to upload their documents and we’ll notify the requestor once the request is completed. 

Uploading tax documents manually:

If you already have tax documents saved to your device, you can upload them to Mercury retroactively:

1. Open the recipient’s profile by clicking their name.
2. Drag and drop the tax document to upload.
    

U.S businesses are required to file 1099 forms for payments of $600 or more made to non-incorporated entities. To confirm which recipients meet this threshold, navigate to your Transactions page. Use keyword and date filters to confirm the total amount sent to individual  recipients. 

For specific guidance on your tax filing obligations, please consult with a qualified tax professional. Mercury does not provide tax advice. Tax regulations can be complex and vary based on individual circumstances, so it's important to seek personalized advice from an expert who can assess your unique situation. 

Managing requests and exporting data

You can track which recipients have submitted documents from your Recipients Table under the “Status” column.

Once you've collected all required documents and ready to file your 1099s you can click the Export button to get started. Select the information you’d like included in the CSV such as contact details and extracted W-9 information.

You can also view parsed tax details directly on the recipient card by clicking into the recipient.

This data is parsed using a third-party tool. While every effort is made to ensure accuracy, there may be occasional discrepancies or inaccuracies in the data due to limitations in the parsing process. We recommend verifying any critical information independently prior to finalizing documents. By using this service, you acknowledge that the parsed data may not always reflect the most current or precise details.