IRS Now Offers Two 1099 E-File Systems
As discussed in our posts on June 1, 2023 and June 13, 2023, the threshold for the e-file mandate for Forms W2 and 1099 has been lowered to 10, effective for forms to be filed for the 2023 tax year, beginning on or after January 1, 2024.
At the same time, the IRS has added a new system as an option to be used to e-file Forms 1099, while still offering the system that was already in place.
Updating E-file Registration for 1099s
As discussed in our post on June 1, 2023, the threshold for the e-file mandate for Forms W2 and 1099s has been reduced to 10 returns (from the previous threshold of 250 returns) effective for the 2023 tax year and subsequent years.
Practitioners who have already registered to e-file Forms 1099 may need to update their registration with the IRS, as discussed below.
Practitioners who are not ye...
W2 1099 E-File Mandate Change
The Treasury Department has issued final regulations (Treasury Decision 9972) regarding the lower threshold for the e-file mandate for Forms W2 and 1099s. The lower threshold of 10 returns is now effective for the 2023 tax year. This is a significant reduction from the threshold of 250 that has applied for earlier tax years.
This lower threshold was originally scheduled to become effective in ...