Overview

IRS Form 1099-C is an IRS information return used to report the cancellation (forgiveness) of a debt of $600 or more. When a lender forgives or cancels a debt, the IRS generally considers the canceled amount to be taxable income to the borrower unless a specific exclusion or exception applies.

1099-C automation with TaxBandits API

The TaxBandits API enables you to automate 1099-C filing directly from your existing systems. Depending on how your platform manages payment data, you can choose the approach that fits your workflow.

Automate end-to-end 1099-C cycle

Collect W-9/W-8 forms from recipients, validate their TINs against the IRS database, and file 1099-C forms at year-end.

Best for: Banks, credit unions, and fintech lending platforms that originate and service loans and need to track borrower TIN status from onboarding through the full debt lifecycle — including charge-off and debt forgiveness workflows.

Create and file 1099-C directly.

If you already have recipient data and annual payment totals in your system, use the API endpoints to create and transmit 1099-C forms directly.

Best for: Loan servicing platforms, collections and debt recovery systems, and credit card issuer back-offices that already log charge-off events and debtor data in structured form and simply need a compliant filing path to the IRS.

Supported tax years

TaxBandits API supports e-filing of Form 1099-C for the following tax years:

Tax Year	API Version
2026	v2.0.0
2025	v2.0.0, v1.7.3
2024	v1.7.3

Services available

The TaxBandits API supports the following services for Form 1099-C:

• Federal Filing- File 1099-C returns with the IRS.
• Postal Mailing - TaxBandits prints and mails the recipient copy on your behalf.
• Online Access - Share a digital copy of the 1099-C with recipients through a secure, branded online portal. Recipients are notified via email and can view, download, and consent to paperless delivery.
• Corrections - File corrections for 1099-C forms that are already accepted by the IRS (even if original returns were filed elsewhere).

1099-C endpoints

All endpoints require a Bearer token obtained through the OAuth 2.0 authentication flow. Include this token in the Authorization header of every request. Learn more about OAuth 2.0

• Create - Create one or more 1099-C records in a single submission.
• Update - Modify an existing 1099-C submission before it has been transmitted to the IRS.
• ValidateForm - Validate 1099-C field-level specifications against the IRS business rules before creating the form.
• Get - Retrieve payer, recipient, and form data for a specific 1099-A submission by SubmissionId.

1099 utility endpoints

The following endpoints are shared across all 1099 form types.

• List - List all 1099-C records for a submission or payer.
• Status - Retrieve the status of the Forms 1099-C submitted to the IRS.
• Transmit - Transmit the created return to the IRS.
• StatusLog - Retrieves the status change of the transmitted return.
• RequestDraftPdfUrl - Returns a draft PDF URL for review. These forms are not for filing and will have a watermark "For Review only" on them.
• RequestPdfURLs - Retrieve final PDF URLs for one or more recipients after transmission.
• Delete - Delete the returns created before transmitting.

As an alternative to the Status endpoint, you can configure webhooks to receive automated status updates. Learn more