SMART Updates related to SMART Supplier Records and Calendar Year 2025 1099 Reporting

As previously announced in Informational Circular No. 26-A-008 dated November 26, 2025 the Office of Accounts and Reports (OAR) is working to transition to new CY2025 withholding values in SMART as described below.

Questions related to use of the new Withholding Types and Classes on the supplier table should be directed to the SMART Supplier Team by entering a Kansas Service Desk ticket, with the Category noted as ‘SMART Suppliers’.

Questions related to withholding codes on vouchers should be directed to the SMART Accounts Payable Team by entering a Kansas Service Desk ticket, with the Category noted as ‘Accounts Payable’.

Questions related to which Withholding Type and Class is appropriate for a specific type of expense should be directed to the SMART Central Responsibilities Team by entering a Kansas Service Desk ticket, with the Category noted as ‘Accounts Payable’ and Sub Category ‘1099’s’.

Entering new suppliers in SMART:

To ensure the integrity of past data, OAR will not remove the 1099M and 1099N withholding classes from the existing supplier withholding records. 

Effective immediately, as new suppliers are added to SMART, Withholding Types 2025M or 2025N and their respective Withholding Classes must be used on the Supplier Location, 1099 withholding link for suppliers that previously would have fallen under the Class of 1099M and 1099N. All other Classes (I, G, and S) will still be available to use, as appropriate.

IMPORTANT NOTE:  Through March 31, 2026, when a new supplier is entered in SMART that is subject to Withholding, and Withholding Type 2025M or 2025N is appropriate, the user entering the supplier must also add withholding rows for 1099M or 1099N to allow our interfaced vouchers to continue to successfully load transactions in ‘Postable’ status rather than in ‘Recycle’ status.

Existing suppliers in SMART as of 12/19/2025:

OAR will update all Suppliers marked for Withholding to add the new 2025M and 2025N Withholding Types and associated Withholding Classes for any records which exist in SMART as of Friday, December 19, 2025 (end of SMART nightly batch).  These updates will occur on Saturday, December 20, 2025.  The default flag for the 2025M and 2025N Withholding Types and Withholding Classes will be applied as it was on the previous default on the 1099M and 1099N Withholding Types and Withholding Classes.  The previous 1099M and 1099N withholding lines will no longer have a default checkbox associated but will still appear in the Supplier Location, 1099 withholding link. 

IMPORTANT NOTE:  Through March 31, 2026, when an existing supplier is updated  in SMART that is subject to Withholding, and Withholding Type 2025M or 2025N is added to the record, the SMART Supplier Team  will also add withholding rows for 1099M or 1099N to allow our interfaced vouchers to continue to successfully load transactions in ‘Postable’ status rather than in ‘Recycle’ status.

Updates to previously entered voucher withholding data in SMART for calendar year 2025:

OAR is currently working to update all previously paid SMART vouchers for Calendar Year 2025, with payment dates from 01/01/2025 through the end of the year 12/31/2025, to the new 2025M and 2025N Withholding Types and associated Withholding Classes.  This update will occur after Monday, December 22, 2025.  No agency action is required for this update.

Withholding Codes for AP02 and INF50 users:

Agencies who submit vouchers on the INF02, Inbound Voucher Interface, or INF50, Excel Voucher Spreadsheet Upload, may use withholding codes to specify the proper withholding code if the voucher should not use the default withholding code specified on the supplier location. 

The withholding codes listed on the table below are no longer valid. 

Withd Type	Wthd Class	Wthd Code	Wthd Code Description
1099M	01	M01	Rents
1099M	02	M02	Royalties
1099M	03	M03	Prizes, Awards, etc.
1099M	06	M06	Medical and Health Care Pymnts
1099M	10	M10	Gross Attorney Proceeds (14)
1099N	01	N01	Nonemployee Compensation

 

These Withholding Codes should be replaced by the equivalent 2025M or 2025N Withholding Code.Agencies using withholding codes must make the changes to their INF02/INF50 programs on or before March 31, 2026.  After that date, the 1099M and 1099N types and classes will no longer be added to the supplier table to accommodate the old withholding codes.  Each voucher line in recycle status must be updated to the new 2025M and 2025N withholding codes by agency fiscal staff. 

Effective immediately, this is the new list of valid Withholding Codes in SMART:

Wthd Type	Wthd Class	Wthd Code	Wthd Code Description
2025M	01	25M01	2025M Rents
2025M	02	25M02	2025M Royalties
2025M	03	25M03	2025M Other Income
2025M	06	25M06	2025M Med & Health Care Pymnts
2025M	10	25M10	2025M Gross Attorney Proceeds
2025N	01	25N01	2025N Nonemployee Compensation
1099G	05	G05	ATAA/RTAA Payments
1099G	06	G06	Taxable Grants
1099I	01	I01	Interest Income not in class 3
1099S	02	S02	Gross Proceeds (BU 27600 only)

 

Thank you,

The SMART Team