P3: dated 1099 decisions, payment methods and the card exception (defects 23, 12, 18, D-40)

A vendor's 1099 decision is its own dated fact (files NEC or MISC, not
reportable with its reason, or undetermined), applied by each payment's
date. Payment methods are recorded; card and network payments are left
out and listed; a member's check through financing counts; a bank payment
with no method counts (D-40); $2,000 for payments after 2025. One
worksheet for the tool, the viewer and the CPA package.

Co-Authored-By: Claude Opus 5.5 <noreply@anthropic.com>
Claude-Session: https://claude.ai/code/session_01T3gXMVt7XJPi6ens1or9Dj

crates/ledger-mcp/handbook/1099.md

@@ -1,5 +1,7 @@
 # 1099s
 
-- Mark contractors and landlords with books.set_vendor_1099 (and whether their W-9 is on file), and tag every payment to them with its vendor or party (books.draft_entry vendor or party, books.set_entry_vendor, or books.set_entry_party; books.pay_bill tags automatically).
-- books.vendor_1099 is the year-end worksheet for the CPA. With include_tins: true it carries the full TINs from the vault, for the CPA's copy; csv: true also hands it over as a CSV file (run its download command to save it).
-- Card payments are reported by the card processor (1099-K) and are left out.
+- Decide every vendor with books.set_vendor_1099 and who decided: nec, misc, or not_reportable with its reason_kind and the facts (a corporation, the United States or a state, a payee selling only merchandise...); undetermined is "not decided yet". "Paid by card" is never a vendor's reason. Never corporation for a payee paid for legal services or for medical and health care: those payments stay reportable even to a corporation (nec or misc). Give effective only when a payee's status changed (an LLC's corporate election, from its Form 8832 date); a payee that incorporates is a new vendor with its own W-9. Ask the human; the CPA confirms.
+- Record each way the company pays once (books.add_instrument: the bank, the company card, each member's own card, each member's own cash or checks, a payment platform), and tag every payment to a vendor with its vendor or party (books.draft_entry vendor or party, books.set_entry_vendor, books.set_entry_party; books.pay_bill tags automatically).
+- Tag what members paid for the company with the card or the cash they used (books.set_entry_instrument): their card is excluded, their own check counts. A card that only funded a friends-and-family transfer is their cash. Tag what a payment platform's balance paid the same way: goods and services excluded, friends-and-family counts; untagged, both stay undetermined.
+- Card and payment-network payments are excluded (the processor's Form 1099-K), whoever's card it was. A bank payment with no method recorded counts: tag a debit-card payment with the card.
+- books.vendor_1099 is the year-end worksheet for the CPA. undetermined means "tell me how it was paid" or "decide this vendor". With include_tins: true it carries the full TINs from the vault; csv: true also hands it over as a CSV file (run its download command to save it).

crates/ledger-mcp/handbook/parties-and-tins.md

@@ -6,7 +6,7 @@
 - The post_entry preview lists each party's resolved share (parties) and refuses to post (party_shares, parties_error) until the shares add up to what the entry moved; show the split to the human before confirming.
 - A share's resolved amount is signed as the party's own account would show it: positive, the company paid it or gave it value; negative, received from it. Each part says its direction (paid, received, or neither: a bill, an invoice, a fee on its own card, a distribution still owed) and what of it was money (cash) and what property (in_kind); a reversal is exactly the opposite of what it reverses. A members' entry that moves their capital counts what moved it: a property contribution is received, in kind.
 - Party totals (books.party, books.parties) take a basis: cash, the default, counts money; all adds property contributed or distributed in kind (for a member, the statement of members' equity). Say which basis you report. It is not the books' accounting method.
-- Money is the cash accounts, the cards (a card account's name says "card"; a gift card the company sold is deferred revenue, not a card) and the financing accounts setting ([books] financing_accounts: what the members advanced, loans): list the members' payable and every loan there, and any card whose account name doesn't say "card". Any other liability (an accrual, deferred revenue, distributions payable) counts once, when it is settled.
+- Money is the cash accounts, the cards (the business cards recorded as payment methods, books.add_instrument kind business_card; until one is, a card account's name says "card"; a gift card the company sold is deferred revenue, not a card; a member's own card pays through the members' financing account) and the financing accounts setting ([books] financing_accounts: what the members advanced, loans): list the members' payable and every loan there, and record every company card as a payment method (or, until then, list any card whose account name doesn't say "card"). Any other liability (an accrual, deferred revenue, distributions payable) counts once, when it is settled.
 - Name whose each card, loan and advance is: books.update_party creditor_of, the issuer for its card, the lender for its loan, each member for what the members advanced. Then a fee on the card, interest on the loan, or a distribution credited to what the members are owed never reads as a payment to them; it counts when paid. A distribution declared to distributions payable counts when it is paid, too. Record a reimbursement and a distribution as two entries, and a member's cash either as a loan (through the members' financing, tagged with the payee it paid) or as capital, not both.
 - Every post_entry preview says where the entry stands (party_policy, party_missing, party_suggestions): under the `[books] parties` setting "suggest" (the default), when party_missing, name the likely party to the human and tag it (or add it) before confirming; under "require", posting is refused (party_required) until the entry names a party or is marked as having none (books.set_entry_party with party null and no_party_reason, or draft_entry no_party_reason: only for an entry with truly no counterparty, like a transfer between the company's own accounts); under "off", don't raise it.
 - Record W-9 facts (books.set_w9) for contractors and landlords before paying them, and W-4 facts (books.set_w4) for employees before their first payroll; name the employee party on every books.run_payroll line.