There is no such thing as a 1099 employee

if you are paying an independent contractor and if they are eligible for a 1099, no you do not withhold taxes

unless – when they fill out the IRS form w-9 you give them, they indicate that they are subject to back up […]

Resolution for '1099 employees issue: 'Do I need to withhold taxes for 1099 employees?' available: Yes.

The 1099 employees issue or error code is a known issue in Quickbooks Online (QBO) and/or Quickbooks. Support for this issue is available either by self-service or paid support options. Experts are available to resolve your Quickbooks issue to ensure minimal downtime and continue running your business. First try to resolve the 1099 employees issue yourself by looking for a resolution described in the article. If it is a complex 1099 employees issue or you are unable to solve the issue, you may contact us by clicking here or by using other 1099 employees support options.

For more information about resolving issues related to 1099 employees in Quickbooks/QBO or to get support for the issue 'Do I need to withhold taxes for 1099 employees?', click the link below: