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1099 Corrections (FIRE) |
  
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1099 Corrections (FIRE) |
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Some notes for understanding the IRS Fire system.
| • | The IRS Fire system is a 'Last In' system. You do not 'adjust' forms, you replace them. |
| • | So, if a Box was filed for $200 and it should have been $100, you file a corrected $100 form. |
| • | Indicating the form is a correction causes the IRS Fire system to locate a prior filing and replace it rather than add an additional form. |
| • | Forms are unique in Fire by year, form type, name and tax ID |
There are 2 methods for filing 1099 corrections.
The 1 transaction method and the 2 transaction method.
A 2 transaction correction is required if any of the following were incorrect:
| • | Tax ID ( missing or wrong ) |
| • | Payee Name |
| • | Type of form |
First Step for all corrections:
Indicate that we are filing corrections for this Dataset. Go to Employer / Payer Maintenance, and on the corrections tab, check the Corrections box.
Determine if you need to follow the 1 or 2 Transaction method and proceed to those instructions.
Note: If you have a combination of corrections to make (some 1 transaction and some 2 transactions), all the 1 transaction corrections and all the first part of the 2 transaction corrections can be in the 'first' batch.