For instructions on creating a Correction File, please read below:

In order to create a correction file, the Issuer must identify the type of correction that is needed.

Details on types of corrections please proceed here: Types of Corrections

*Please be advised: Never change your original source file after is has been successfully filed to the IRS. Keep and preserve all information, including all errors discovers after filing. If a correction is needed, the Issuer must creat a new file containing only the corrections (and any recipients that were missed previously)

Creating a Type-1 Correction:

A Type-1 Correction will require only one form to complete the correction.

• Start off by opening up the original file that contains the recipients with incorrect information. Please be sure to not revise/remove any information within the original file.


• Double click the Program Icon and launch another instance of the program. The filer information can be added at this time by right clicking in the original file and choose COPY FILER and then click PASTE FILER in the new blank grid. The Filer will display at the top in blue.


• Return to the original file and select all recipient information that needs to be corrected right-click COPY. Move to the new blank grid and right click PASTE


• Close your original file and do not save it (just in case you accidentally changed something)
  
  
  
  

  In the new gid with the copied recipient information. Double click the recipient's name and a Data Entry window will pop-up (see image below)

  This is where the recipients information can be revised. If incorrect dollar amount, code, or a box was marked incorrectly-proceed to edit the information as needed.
  
  Make sure to type an 'X' in the Corerection Code box. Then click 'OK'.

  
  
  
  

  Once all steps above are completed, the informtion should look like the first row highlighted in RED.

  If all data has been corrected, the user may proceed to save and submit their corrected file. Make sure you SAVE AS and rename the file.

  
  
  
  

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  Creating a Type-2 Correction:

  
  
  

  A Type-2 Correction will require two forms to complete the correction.

  • Start off by opening up two instences of the 1099 Express program. In one window, open the file that contains the recipients with incorrect information. Please be sure to not revise/remove any information within the original file upon opening.
  
  
  • In the second window of the 1099 Express program, make sure it is blank (with no recipient/payee information inside of it). The User's filer information can be added at this time.
  
  
  • Return to the 1099 Express window with the incorrect recipient information and select all recipient information then right-click and Copy.
  
  
  • In the blank 1099 Express window grid, right-click the top row and select paste. The User can paste recipient information a second time in order to indicate the second form that will need to be filled out. [As seen in the images below]
  
  

  
  
  
  

  • On the first line in the new grid, double click the recipient's name and zero out all dollar amounts. Keep all other information the same as before.
  
  
  • After all dollar amounts have been zero'd, mark an 'X' in the Correction Code box, then click 'OK'.
  
  
  • On the second row with the duplicate recipient information -- double click their name in the grid and proceed to edit information as needed. Correct the missing/incorrect TIN, incorrect name and address at this time.
  
  
  • Once all information has been corrected, click 'OK'. Do not type an 'X' in the Correction Code box since this form will be replacing the form originally filed.
  
  
  • The User may proceed to save and submit file after completion.

  
  

  To file Copy A to the IRS over the Internet using FIRE:
  
  1.) Add your TCC holder information by selecting the 'Options' tab on the top left, then select 'TCC Holder Information' from the drop-down list. A TCC data entry window will populate, enter all required information (Or select the 'Re-populate' option to select a company file previously created).
  
  2.) Once all information has been entered, click 'OK'.
  
  3.) Click the 'Options' tab and select 'Build IRS Correction File - This File'. This will creat a new file called 'IRSCor1.txt'.
  
  4.) Upload that file to the IRS as a Correction file. See E-Filing through the IRS FIRE Site

  If further assistance is needed, please Contact Us

  
  
  

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