Direct Answer For information returns due in 2027 (tax year 2026), the IRS penalty is $60 per return if you file correctly within 30 days of the due date, $130 per return if you file by August 1, and $340 per return after that or if you never file. Intentional...
Direct Answer The IRS is retiring the FIRE system. The last day to transmit information returns through FIRE is November 19, 2026 at 3 p.m. ET, and starting January 1, 2027 the Information Returns Intake System (IRIS) becomes the only electronic filing system for...
Direct Answer Yes, if you file 10 or more information returns in a calendar year, you must file them electronically. The threshold is an aggregate count across almost all information return types combined, not 10 of each form. Forms W-2 filed with the Social Security...
Direct Answer Use Form 1099-NEC to report at least $2,000 in nonemployee compensation for services paid during 2026. Use Form 1099-MISC for other reportable payments, including rents, prizes and awards, certain medical payments, and gross proceeds paid to an attorney....
Direct Answer Many errors on an accepted information return can be corrected with a one-step correction, including an incorrect recipient name or TIN. If the wrong form type was filed, the correction generally takes two steps: zero out the incorrect return, then...
Direct Answer Clean your payee data before filing season. Collect a Form W-9 for each reportable payee, verify names and TINs, classify payments by form type, and prepare a simple Excel workbook with consistent columns. Testing a small sample before January can catch...
