A Quicker, Easier Way to Handle 1099 & W-2 Corrections

1099 corrections
How to file a corrected 1099 and W2

Mistakes happen – especially when you’re manually entering lots of detailed numbers in a 1099 or W-2 tax form.

Correcting mistakes used to be a big hassle. First you had to track down the form, then you had to fill it out, redeliver it to the recipient and re-file it with the IRS/SSA. All that just for one little miscalculation or transposed number!

These Corrections Can Be Handled Electronically

You can quickly and easily correct many different errors on efile4Biz.com. For your convenience, we support corrections for the following forms that were originally filed electronically:

  • 1099-NEC
  • 1099-MISC
  • W-2
  • 1099-DIV
  • 1099-INT
  • 1099-K
  • 1099-R
  • 1099-S
  • 1098

The IRS now has 2 ways to e-file information returns. In order to process your corrected forms, your original forms had to be filed and accepted at the Filing Information Returns Electronically (FIRE) website. We do not process corrected forms that were originally filed on paper or through the Information Return Intake System (IRIS). Any attempt to correct a form not originally filed through the FIRE system will be not be processed and penalties may apply. If you are unsure, please check with the provider of your original filing. Under no circumstance shall Efile4biz/FormsTax have any responsibility for verification or liability with respect to any penalties. You are solely responsible for verification of the original filing method and any penalties that may arise.

1099 Forms

Type 1

  • Incorrect money amount(s), code or checkbox
  • Form filed when one should not have been filed

Type 2

  • Incorrect or no payee TIN (SSN, EIN, QI-EIN, or ITIN)
  • Incorrect payee name
  • Original filing using wrong type of form (for example, a Form 1099-DIV was filed when a Form 1099-INT should have been used)

W-2 Forms

Type 1

  • Incorrect money amount(s), code or checkbox (boxes 1-7)

Type 2

  • Duplicate W-2 forms filed under same EIN and SSN with different Social Security wage amounts (There are different scenarios for this type of correction, contact our customer service department before submitting a correction form)

Once you have finished your corrected form, check out and select “E-File, Print & Mail” and then we will print and mail a corrected form to the recipient, and e-file the correction with the IRS/SSA. (Or, if you provide the recipient’s email address, we can offer the recipient the option to download the form for faster delivery.)

You can make corrections on efile4Biz – even if you did not file the original form with us. All you need to do is create an account, add the payer and recipient and then select the correction form from the drop down in the create a form box. Submit the corrected form, and we’ll ensure prompt delivery to the recipient and the IRS/SSA.

Avoid Penalties with Error-Free Filings

Due to the possible penalties, it’s essential that you strive for accurate and timely filings. Should you not file a correct 1099 or W-2 by the due date — and you can’t show a reasonable cause — you may face a penalty. Penalties apply if you don’t file on time, you don’t include all the required data, or you put incorrect information on the form.

Additionally, penalties may be imposed if you file on paper when you’re required to file electronically, you report an incorrect TIN (or don’t report one at all) or you file paper forms that aren’t machine readable.

Here’s How to Prevent Common Errors

A few simple precautions can make a big difference when completing a 1099 or W-2:

  • Don’t enter 0 or “none” in any of the boxes (if a box doesn’t apply to your business, leave it blank).
  • Don’t omit the decimal point and cents from entries.
  • Don’t add dollar signs to the money-amount boxes.
  • Don’t make entries that are too small or large – when filing by paper use 12-pt. Courier font, if possible.
  • Don’t use a 1099-NEC to report employee wages! The W-2 is used for this purpose.

We’re Here to Help

For step-by-step instructions on how to make corrections on efile4Biz.com, check out this blog article Mistakes Happen. If you have additional questions, please contact our customer service department. Be aware: Not every situation is open for corrections. If you need to make other types of modifications or must adjust a different form, you’ll need to contact the IRS directly at (866) 455-7438 or refer to the IRS Guidelines for instructions.

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