1099-NEC deadline · Feb 1, 2027 Tax year 2026 brings a $2,000 reporting threshold, new tips and overtime boxes, and the end of FIRE. What changed for 2026 Free FIRE converter Collect a W‑9
For businesses and firms running Xero

Xero 1099 Integration:
Import What You Actually Paid

Bring your Xero contacts and their payment totals into TaxFormHero to prepare 1099‑NEC and 1099‑MISC forms. Available contact and payer details import from Xero. Review and complete any missing information, then e-file with the IRS and the states that need it.

IRS-authorizedRead-only connection20+ IRS forms 41+ state filingNo subscription
Connect Xero See how it works

Review your forms before submitting. Pay only for what you file.

How do I file 1099s from Xero?

The short answer

Connect your Xero organisation, pick which set of books and which payer, then choose the tax year, the form and the box these payments belong in. TaxFormHero reads the contacts in your Xero 1099 contact group and totals what each of them was actually paid during that calendar year. Available contact and payer details import from Xero. Review and complete any missing information, then submit to the IRS and the states that need it.

Before you importWhy it matters
A US-based Xero organisationThe 1099 report is US-only. An organisation based elsewhere returns nothing rather than an error.
A 1099 contact group in XeroThe group is how Xero says who gets a 1099 — the equivalent of the QuickBooks tick. It is free text, so it can be called anything; if nothing matches, we name the groups you do have rather than reporting an empty result.
Permission to read contacts, payments and reportsGranted when you authorise, so the person who connects needs those rights in Xero. Reports access covers Xero's own 1099 report, which is used where your account mapping exists.

Your books stay in Xero. Your filing happens here

Nothing is written back to Xero at any point. The connection reads, and the filing is ours.

Less retyping

Recipients, taxpayer IDs and box amounts arrive from your own books instead of being keyed in a second time, which is where the mistakes come from.

Review before you submit

Every row is shown with its boxes filled and its problems flagged. Nothing is filed until you say so, and nothing is removed on your behalf.

Finish the job in one place

File with the IRS, add the states that need it, and get recipient copies out — then watch the status of each return without leaving TaxFormHero.

From Xero to filed, in four steps

Connect the organisation

Authorise TaxFormHero in Xero. The connection is read-only — it reads your contacts, your payments and your organisation details, and writes nothing back at any point.

Pick the organisation and payer

Choose which Xero organisation to file from, then which TaxFormHero payer. Available payer details prefill from Xero for you to review.

Choose the year, the form and the box

You say which tax year, whether these payments go on a 1099‑NEC or a 1099‑MISC, and which box they belong in. We then total what each contact in your 1099 group was paid in that year.

Review and file

The grid shows each contact with its boxes filled. Rows under the threshold, possibly-exempt corporations and missing details are flagged rather than hidden. Add to the cart and file.

See an import end to end

Every screen between connecting Xero and the IRS answer coming back, in the order you meet them.

Demo data. Every name, address and amount in the recording and the pictures below is invented, and the tax IDs are shown masked. Nothing here is a real filing.

Two minutes 29 seconds, narrated — every step is also captioned on screen.

  1. The Xero Import page in TaxFormHero, with the four-step summary and the Connect to Xero button marked.
    1. Four plain steps: sign in to Xero, match the organisation to a payer, pick the year, form and box, then review what we found.
    2. Connect to Xero opens Xero’s own sign-in. We never handle your Xero password.

  2. Xero’s own consent screen with the organisation dropdown open, showing the two organisations on the account.
    1. You sign in on Xero’s site and choose the organisation. This account has two; the walkthrough uses TaxFormHero Test Inc.

  3. Xero’s consent screen listing the four things TaxFormHero asks to read, with the Allow access button marked.
    1. Read access to four things: 1099 reports, contacts, organisation settings and payments.
    2. Press Allow access and Xero sends you straight back. You can disconnect at any time from Connected apps in your Xero settings.

  4. The organisation picker in TaxFormHero, with the shared Xero organisation and the Continue button marked.
    1. Shared more than one Xero organisation? Choose the one whose 1099 data you want.
    2. Continue carries that choice into the payer step.

  5. The payer step, showing the matched payer with its tax ID masked to the last four digits, and the Use this payer button.
    1. TaxFormHero Test Inc already matches a payer in your directory, so it is selected for you. Its tax ID shows only the last four digits.
    2. Filing under the payer you already have keeps every form on one record.
    3. Press Use this payer to go through to the import grid.

  6. The import grid, with the tax year, form and box controls, the Fetch from Xero button, the contact-group notice, the OK / Missing / Error counter and a flagged recipient row marked.
    1. Pick the tax year, the form, and the box the payments belong in.
    2. Press Fetch from Xero. We total what each contact was actually paid in that calendar year, into the box you chose.
    3. Card payments are left out — the card processor reports those on a 1099-K. The group holds 8 contacts; 3 were paid in 2026.
    4. OK, Missing and Error count the rows at a glance.
    5. Click a flagged recipient to open the row and fill in what is missing — that is the next four steps.

  7. The Edit recipient panel with an empty Tax ID field marked.
    1. Marlow Estates LLC came across without a tax ID. Open the row and fill it in — no spreadsheet round-trip.

  8. The Edit recipient panel with the tax ID filled in, shown masked, and the Save button marked.
    1. Masked on screen throughout this walkthrough. In the product, the mask checkbox on each row controls what prints on the recipient copy.
    2. Save returns you to the grid and the row re-checks itself.

  9. The Edit recipient panel for a contact with no address, and the OK / Missing counter marked.
    1. Teller Creative arrived with no street address, city, state or ZIP.
    2. The counter at the top shows two rows OK and one still missing something.

  10. The Edit recipient panel with the street address, city, state and ZIP filled in.
    1. Address added from your own records. The check re-runs as soon as you save.

  11. The import grid with all three rows checking OK, the under-threshold note on one row, and the Remove row button marked.
    1. All three rows now check OK.
    2. Marlow Estates was paid $450 — under the $2,000 threshold for 2026 — so we say so on the row.
    3. Tick the row and remove it if you would rather not file it.

  12. The import grid with two rows left, the per-row add-on checkboxes ticked, the Add to cart button and the totals marked.
    1. State filing, print and mail, e-delivery and a TIN check are per row, not all-or-nothing.
    2. Add to cart when the batch looks right.
    3. Two recipients left, $27,000.00 between them.

  13. The cart and checkout, with the per-form and add-on breakdown and the order total marked.
    1. Two 1099-NEC forms at $3.98, plus $5.36 of add-ons.
    2. $9.34 in total. Booking fees and charges are added once you choose your state.

  14. The Status page listing the filed forms, with the two new rows and the CSV and Excel export buttons marked.
    1. Both forms sit with the rest of your filings. Print is already in production; the IRS status reads Queued to file.
    2. The whole list exports to CSV or Excel whenever you need it.

  15. The Status page with the IRS answer on each row, and the Accepted and Rejected statuses marked.
    1. Both 2026 forms from this import came back Accepted.
    2. A rejection lands on its own row too, so you know exactly which form to correct.

How the amounts are worked out

Three rules decide what lands on a row. Each of them is a way the total can legitimately differ from the number in your own books, so they are worth knowing before you compare the two.

RuleWhy
Paid, not billedA 1099 reports the year the money went out, so payments are read from Xero's payment records and dated by the payment. Totalling invoices instead misfiles everything settled across a year end, and misfiles it plausibly.
Money out onlyA customer paying you is not a payment to a contractor. Only money leaving the organisation counts.
Card payments left outUnder IRC 6050W the card processor reports card payments on a 1099‑K. Reporting them here too would report the same money twice. The screen tells you how much was excluded and across how many payments, so a total that looks short is explained rather than mysterious.

Contacts paid nothing in the year you picked are not listed. Nothing is removed quietly — rows under the reporting threshold, possibly-exempt corporations and missing details are flagged on the row and left for you.

What an import cannot give you: the details nobody recorded

Xero hands over what it holds. A recipient who never gave you a W-9 has nothing to hand over, and that gap shows up on the row rather than at the IRS.

Ask for a W-9

Send a signing link to any recipient whose taxpayer ID or address is missing. The completed W-9 comes back into the same record you are about to file, with a TIN match included. How the filing workflow runs

Check a name and TIN

Optional TIN matching checks a payee's name and taxpayer ID against IRS records before you file, so a mismatch surfaces while there is still time to fix it. Instant or bulk; a payee gets one, never both. How TIN matching works

Neither happens on its own. Importing never sends a W-9 request and never runs a TIN check — you choose both, per recipient.

After you review, finish the filing

Submitting to the IRS is the part that must happen. The rest you choose per filing, and each is priced on its own.

IRS e-filing

Submit the batch and follow each return's status as it is accepted or rejected.

State filing

Direct filing for the states that need a separate return. Check whether your state and form require a separate submission. Which states need what

Recipient copies

Download the recipient PDF for any filing, masked or whole, whenever you need it.

Delivery, if you want it

Secure e-delivery with a consent trail, or print and mail from a SOC 2 audited facility. How e-delivery works

State obligations vary by state and by form. Check what your own returns need rather than assuming filing federally covers them.

Importing is free. You pay per form filed

The connection, the fetch and the review cost nothing. Filing is charged per form on graduated bands, so a larger batch reaches a lower rate on its own.

Filing volumeWhich formsPrice per form
First 150 forms forms 1–150 $1.99
Next 350 forms forms 151–500 $0.99
Next 500 forms forms 501–1,000 $0.60
Beyond 1,000 forms every form after $0.45

No signup fee, no subscription and no minimum. State filing, print and mail, secure e‑delivery and TIN matching are optional and priced separately on the pricing page.

FAQ

Xero 1099 import questions

Open the Xero connect screen in your account and authorise TaxFormHero in Xero. One thing to check before you start: the person who connects needs Reports access in Xero, because the 1099 report is a reporting endpoint and it is the only call that fails without that permission.

It does not depend on them. Xero can split a contact's money across boxes from account-mapping rules, and a report built from rules that are not set up comes back valid, empty and convincing. So the import asks you which form and which box, and totals what each contact in your 1099 contact group was actually paid. Where your mapping does exist, Xero's own split is available as the better answer rather than the only one.

Most often because card payments are left out. Under IRC 6050W the card processor reports those on a 1099-K, so a payer who reports them too has reported the same money twice. The import tells you the amount excluded and how many payments it covers. The other reason is timing: a 1099 reports the year money was paid, not the year it was billed.

Either the contact sits outside your Xero 1099 contact group, or it was paid nothing in the year you picked. TaxFormHero shows how many contacts exist, what your groups are called and how many are in each, so you can tell a missing group from an empty year from a failed import.

Yes. Everything imported is editable in TaxFormHero before you file -- names, addresses, taxpayer IDs and amounts. Nothing is ever written back to Xero; the connection only reads. Your books are unchanged by anything you do here.

A draft you have not paid for is updated in place rather than duplicated, so re-importing after fixing something in Xero refreshes the row. A filing you have already paid for is left untouched and drops out of the import grid -- it is a filed return, and changing it means filing a correction rather than editing it.

You pick the box, so the 2026 layout is the one you are choosing from rather than something inferred from an older numbering. Where Xero's own 1099 split is used and a box's meaning genuinely moved between years, the amount is held, shown on the row and left for you to place. It is never silently dropped or misfiled.

No, and that is deliberate. Before the 1099-NEC split, MISC box 7 was nonemployee compensation and boxes 9 through 14 sat one or two places from where they are now. Those years are refused rather than mapped wrongly.

No. The 1099 report is US-only, and a Xero organisation based elsewhere returns nothing rather than an error. TaxFormHero files US information returns, so a US organisation is the requirement.

Yes. The import asks which organisation to file from before it fetches anything, and each one maps to its own payer record. The connection covers the organisations you authorise.

From $1.99 per form, falling to $0.45 per form at volume, with no signup fee and no subscription. Connecting, importing and reviewing are free, and nothing is charged until you file. State filing, print and mail, e-delivery and TIN matching are optional and priced separately.

Yes. An imported filing is an ordinary TaxFormHero filing, so state filing, e-delivery and print and mail are all available on it and are each priced per form on top of the filing. Whether a state needs a separate return depends on the state and the form.

Yes. TaxFormHero reads the 1099 report, your contacts and your organisation details. Nothing is written back to Xero at any point.

E-file Form 1099‑NEC

The NEC report Xero returns, with its 2026 boxes explained.

E-file Form 1099‑MISC

Where the MISC boxes moved for 2026, and what that means for a mapping.

What changed for 2026

The $2,000 threshold, the new tips and overtime boxes, and the end of FIRE.

What it costs

Per-form bands, add-ons, and the volume figures worked out.

Let Xero do the arithmetic

Connect the organisation and import a year. Review imported records, complete missing details, and file.

Connect Xero See how filing works