--- title: "Setup a 1099 Common Payer" slug: "setup-a-1099-common-payer" description: "Designate a legal entity as a 1099 common payer in R365 to consolidate 1099 filings across multiple locations." updated: 2025-08-26T21:17:29Z published: 2025-08-26T21:17:29Z canonical: "docs.restaurant365.com/setup-a-1099-common-payer" --- > ## Documentation Index > Fetch the complete documentation index at: https://docs.restaurant365.com/llms.txt > Use this file to discover all available pages before exploring further. # Setup a 1099 Common Payer 1099 common payers are setup on the [legal entity record](/doc/docs/legal-entity-record). 1099 common payers can be used when one legal entity acts as a reporting entity for one or more other legal entities. Learn more about [1099 setup and management.](/doc/docs/1099-setup-and-management) --- ## Security Users must have the following permission to set a legal entity as a 1099 common payer. - Administration → Legal Entities → Edit Legal Entities These permissions can be added to [custom user roles](https://restaurant365.us.document360.io/doc/docs/custom-user-roles) or [individual users](https://restaurant365.us.document360.io/doc/docs/users-overview-and-security). The [Permission Access report](https://restaurant365.us.document360.io/doc/docs/generating-a-permissions-access-report) can be used to determine which user roles or users already have these permissions assigned. For more information, see [User Setup and Security](/doc/docs/user-setup-security-and-location-access). --- ## Setup a 1099 Common Payer To setup a common payer for 1099s, follow these steps: *Click steps to expand for additional information and images.* ****1)** Navigate to the [**Legal Entities page.**](/doc/docs/legal-entities-page)** ![](https://cdn.us.document360.io/5c9d1111-0c69-4e96-8910-d7f2750fdc9d/Images/Documentation/image-KYE5TYKK.png) ****2)** Open the **legal entity record** to be set as a common payer.** ![](https://cdn.us.document360.io/5c9d1111-0c69-4e96-8910-d7f2750fdc9d/Images/Documentation/image-6IL31XEY.png) ****3)** In the **1099 Processing** section, select the **This Legal Entity is a Common Payer** checkbox.** ![](https://cdn.us.document360.io/5c9d1111-0c69-4e96-8910-d7f2750fdc9d/Images/Documentation/image-P5JB5NVO.png) ****4)** Hover over **save** then select **save and close.**** ![](https://cdn.us.document360.io/5c9d1111-0c69-4e96-8910-d7f2750fdc9d/Images/Documentation/image-RTXG2AAC.png) ****5)** On the [legal entities page](/doc/docs/legal-entities-page), **open** the **legal entity record** that will be reported through the common payer.** ![](https://cdn.us.document360.io/5c9d1111-0c69-4e96-8910-d7f2750fdc9d/Images/Documentation/image-BS1HD6LY.png) ****6)** In the **Report 1099s through** dropdown, select the **common payer** (the legal entity set as a common payer in step #3).** > Only legal entities that have been indicated as common payers on the [legal entity record](/doc/docs/legal-entity-record) are available for selection in the dropdown. > > Organizations can have more than one common payer. Ensure that the correct common payer is selected. ![](https://cdn.us.document360.io/5c9d1111-0c69-4e96-8910-d7f2750fdc9d/Images/Documentation/image-03LHKLCV.png) ****7)** Hover over **save** then select **save and close.**** ![](https://cdn.us.document360.io/5c9d1111-0c69-4e96-8910-d7f2750fdc9d/Images/Documentation/image-AW8I458Z.png) ****8)** To mark additional legal entities as reporting through the common payer**, repeat steps #5-7**.** > Setting up a common payer does not automatically apply to all legal entities, and organizations can have more than one common payer.