How to Amend a 1099

When a contractor notices an error on a 1099 you sent, you must try to amend the form quickly so the contractor can file his taxes on time. Ideally, you or your accountant will catch any errors before the forms are submitted to the Internal Revenue Service. Misfiled 1099s can cost those you filed for a significant amount of money, especially if you report that you paid them more money than they received.

Complete a form 1096 and new 1099 for the payee. Double check the 1099 to ensure it is completed correctly this time.

Place an “X” in the box titled “Corrected” on the 1099. You may also place the date of the correction in the corrected box to help the payee.

 

Send Copy A of the 1099 plus the form 1096 to the IRS and a copy of the updated 1099 to the payee. The updated 1099 will allow the payee to file his taxes correctly.

 

Tips

  • The mailing address you are required to use for the IRS depends on your location and is listed on the Form 1096.

References