I wrote a check to petty cash to pay a vendor in cash. I want to show this payment on his 1099. How will I do that?
If your Petty Cash account is set up as a bank account then the check that you wrote to petty cash would show as a withdrawal from your operating bank account and a deposit to your petty cash. When you give the cash to the vendor, you should write a “check” out of your Petty Cash account to the vendor. The cash that you give the vendor will then show as a payment to the vendor. Since your 1099s would use the expense categories as long as this payment was properly expensed it will show up on the report.