Businesses can now file Form 1099 series information returns using a new online portal—called the Information Returns Intake System (IRIS)—that was unveiled by the IRS on Wednesday.
“The IRS is excited to offer any business, especially small companies, a great new way to electronically file their 1099s for free,” Acting IRS Commissioner Doug O’Donnell said in a written statement. “This simplifies filing for those issuing 1099s and helps recipients receive information timely.”
O’Donnell added that IRIS is expected to reduce the millions of paper Forms 1099 that are expected to be filed in 2023.
“[This] demonstrates our commitment to finding useful and innovative ways of reducing paperwork on the business community and others issuing 1099s. This is part of the larger effort underway to make improvements and transform operations at the IRS,” he said.
The IRS stressed that the free electronic filing service is secure, accurate, and requires no special software.
Filers can use the online platform to create, upload, edit, and view information and download completed copies of 1099 series forms for distribution and verification. Businesses can e-file both small and large volumes of 1099 series forms by either keying in the information or uploading a file with the use of a downloadable template.
Currently, IRIS accepts Forms 1099 only for tax year 2022 and later. According to the IRS, benefits of switching from 1099 paper filing to e-filing include:
- E-file security standards keep information safe and protected.
- The portal is an accurate filing method that automatically detects filing errors and provides alerts for missing information.
- Filers can submit automatic extensions and make corrections to information returns filed through the platform.
- The IRS acknowledges receipt of the return in as early as 48 hours.
- The platform keeps issuer information from year to year, and prior years filed through this platform, providing convenience to 1099 filers.
- E-filing eliminates trips to the post office and can reduce office expenses for paper, postage, and storage space.
Enrollment for the IRIS filing platform is now open, and filers should begin the enrollment process immediately, the IRS said.
The Filing Information Returns Electronically (FIRE) system will remain available for bulk filing Form 1099 series and the other information returns through at least the 2023 filing season.
For more information about IRIS, visit E-file Forms 1099 With IRIS.
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Tags: Benefits, Cloud Technology, Income Tax, IRS, Small Business, Taxes
