New Withholding Types - 2025M and 2025N

Effective 01/01/26, the usage of 1099 Withholding Types 1099M and 1099N will no longer be valid.  New Withholding Types – 2025M and 2025N will take the place of the former 1099M and 1099N.  Supplier Withholding Location(s) configuration will be updated to reflect the transition on supplier profiles.  Unpaid Vouchers as of Noon 12/30/25 with the 1099M or 1099N Withholding Type will be systematically updated to 2025M and 2025N, respectively.  As of 01/01/26, newly created vouchers should default with the new Withholding Types.  Agencies that select a 1099M or 1099N code after January 1st will cause the tax reporting of their vendor to be miscalculated.  This can result in IRS fines being levied against the State and the agency. Agency voucher approvers should ensure that no 1099M or 1099N reporting codes are approved for payment in 2026.

Note, 1099I, 1099G, and 1099S Withholding Types are not impacted by this change.  

If you have any questions, please contact OSC Central Accounts Payable Special Processing Unit at Osc.1099@ct.gov.