How to Correct Your Form 1099 Mistakes and Avoid IRS Penalties

Typos and errors happen, but if you’re filing with the IRS, they can be a much more serious problem for your business than a misspelled tweet. There’s a lot of information to report on Form 1099, so it’s normal for employers to make a mistake. Thankfully, you can correct your Form 1099 easily and keep IRS penalties to a minimum.

Here is everything you need to know about filing Form 1099 corrections. Correct your 1099 forms online this tax season and stay IRS compliant.

Who Needs To File 1099 Corrections?

Everyone who finds a mistake on their 1099 form should file a correction. Errors and misreported information can lead to IRS penalties and problems for your business.  

When are Form 1099 Corrections Due?

Since 1099 corrections are just made as needed, there’s no specific due date. Employers should file a 1099 correction as soon as possible after they notice the error on their form. They also need to send their recipients an amended copy.  Businesses do need to make corrections within three years of filing. 

What Can Be Corrected on 1099 Forms?

If you found a mistake on your 1099 form, there’s a lot of information you can fix. Here are some common mistakes that can be corrected on Form 1099:

  • Incorrect Recipient name 
  • Incorrect Recipient’s SSN/TIN
  • Incorrect amounts or codes
  • Filing for the wrong payee
  • Filing the wrong return for your payee

To correct a payer name or TIN on a 1099 form, you will need to write to the IRS. Think you may have filed the wrong 1099? Click here to find out the difference between IRS Form 1099-NEC and Form 1099-MISC

Filing A 1099 Correction

There isn’t a separate correction form for fixing Form 1099 errors. Instead, you simply complete your 1099 again, correcting the previously misreported or missing information. 

E-filing is a great option for fixing Form 1099 mistakes because you can get the right information to the IRS instantly. Visit this blog for the top 7 reasons employers choose to e-file Form 1099-NEC.

How to Correct 1099s Online with ExpressEfile

ExpressEfile is proud to announce that we are now supporting Form 1099 corrections! Resolve mistakes in just a few simple steps.

If you filed Form 1099-NEC or 1099-MISC with us, here is how to correct your 1099 forms: 

  • Sign in to your ExpressEfile account.
  • From Dashboard, click the Form 1099-NEC or 1099-MISC tab, depending on which one you need to fix.
  • Select the “E-filed” tab on the left. There will be a correction icon next to your return. Click this and correct your form easily.

If you filed your 1099s with another service provider, you can make corrections with ExpressEfile. Follow these simple steps:

  • Click Sign up to create your free ExpressEfile account
  • Select the 1099 correction option
  • Select “Filed with other service providers”
  • Enter all the details from your original form, only making changes in the fields that you need to correct. 

Form 1099-NEC is a new one, so if you need more instructions on how to correctly complete your return, check out this blog

When you correct Form 1099-NEC and Form 1099-MISC mistakes with ExpressEfile, you get automatic error-checks and instant notifications on your return’s status. Since you’ll also need to send an amended copy to your recipient, ExpressEfile helps with that as well. Business owners can select the postal mailing option and let ExpressEfile print and mail recipient copies on their behalf. 

Don’t let IRS penalties become a major expense for your business. Correct your 1099 forms quickly and easily today!

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