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Version: 1.7.0

Form 1099 Correction

1. How to correct  recipient name and/or TIN in 1099 using TaxBandits API?

Payer can correct the Recipient Details such as Recipient Name, TIN, and Amount using the 1099 correction for both the original 1099 form filed with TaxBandits and also for the forms filed elsewhere (Paper or Other Third-Party Service Provider). 

  • If you are filing a correction for the 1099 forms originally filed with TaxBandits, use the specific form's BusinessId and RecordId. Use Create method along with BusinessId, RecordId and the recipient details that need to be changed.
  • If you are filing a correction for 1099 forms which are filed with Third-Party Service Provider, Use Create method, provide the mandatory information such as Business information, Recipient details, address etc.

2. How to correct Payer Name and/or TIN in 1099 using TaxBandits API?

To correct the Payer Details such as Payer Name or TIN, you must send a letter to the IRS containing all the previously reported Payer information and the updated information for the below address.

Mail correspondence to:

Internal Revenue Service

230 Murall Drive, Mail Stop 4360

Kearneysville, WV 25430

 3. Is it possible to correct the 1099s filed with another service provider?

TaxBandits support 1099 correction for the form filed initially with us and also for the forms filed elsewhere (Paper or Other Third-Party Service Provider).

 4. How to void 1099s using TaxBandits API?

If the payer believes the form should not have been filed, it must be voided. To accomplish this, in the create method, set the CorrectionType value to VOID.

 5. How to error-check 1099 correction forms before transmitting to the IRS?

TaxBandits offers you two different methods to verify your  MISC/NEC correction form before transmitting to the IRS. You can verify the form either with the Validate or ValidateForm method.

  • To check with the Validate method, provide the respective Submission ID and Record ID of the form which you have already created. TaxBandits API will validate the return against IRS business rules and field specifications. You can Transmit a return successfully only if there are no errors after validating the return.
  • To check with the ValidateForm method,  enter all the form details and the API will validate the forms in the request against IRS Business rules and field specification without creating the returns in TaxBandits.

If an error occurs, you can correct it before sending the form to the IRS.

6. How to delete a single 1099 correction form using TaxBandits API?

To delete a particular 1099 correction form, use Delete method and supply the SubmissionId and RecordId of that particular recipient whose correction form you need to delete.

If only SubmissionId is provided, then all the 1099 correction forms within that id will get deleted. So make sure to provide both the SubmissionId and RecordId if you need to delete a particular correction return.

7. How to know whether the IRS has accepted or rejected the 1099 correction form?

There are three ways to know the status of the 1099 correction forms submitted to the IRS.

  • Call the Status method of that particular correction form. As a result, it will inform whether the IRS has approved or rejected the form. If the 1099 correction form is rejected, the cause for rejection will also be displayed.
  • Adding the webhook Efile status change as event type. Once the status is changed, it will be notified via webhook.
  • Check the return status via List method. This method will list all forms created and transmitted on the account for a particular Submission or Payer along with its status.