QuickBooks HelpQuickBooksHelpIntuit

Fix rejected 1099 forms

by Intuit•54• Updated 3 weeks ago

Learn how to fix and resubmit 1099-NEC or 1099-MISC forms rejected by the IRS in QuickBooks Online, QuickBooks Contractor Payments, or QuickBooks Online Payroll.

Note: If you'd like to pay your contractors and file your 1099s directly through QuickBooks, consider adding Contractor Payments. If you have both employees and contractors, add QuickBooks Online Payroll.

If you created and e-filed 1099s in QuickBooks Online, QuickBooks Contractor Payments, or QuickBooks Online Payroll you may get an email that the IRS hasn't accepted your e-filings. There are two possible explanations for this issue: either your company's legal name, Employer Identification Number (EIN) or Social Security number (SSN) doesn't match IRS records, or one or more of your contractors has an incorrect address.

To resolve this rejection and resubmit your 1099s, you must void your 1099s, update the incorrect info, and then e-file again.

  1. Go to the 1099 filings tab
    • QuickBooks Online and QuickBooks Online Payroll: Go to Taxes, then 1099 filings.
    • QuickBooks Contractor Payments only: Go to 1099 filings.
  2. Look for the alert ‌on the page. It'll indicate why the IRS rejected your 1099-NEC or 1099-MISC filings.

Rejections happen for these reasons:

  • Your company's legal name, EIN, or SSN doesn’t match IRS records exactly.
  • The contractor's address(es) don't match IRS records. The most common reason for this is an incomplete ZIP code, wrong state, or a non-US address.

From the 1099 filings tab, select Void forms. This will void all forms that have been rejected.

Review your company info:

From the Contractors tab, select Prepare 1099. Review your company's legal name and tax identification number. Select Edit ✎ to see more info or to make a correction.

  • Note: don't abbreviate your legal info. It must match IRS records exactly.

Review your contractor info: 

You can review each contractor’s info from the Contractors tab. Select their name to review their address and tax identification number.

If you have QuickBooks Online, run a report to see your vendor details.

  1. Go to Reports.
  2. Search for Vendor Contact List.
  3. Select the Contractor name, then Edit to make updates.
NOTE: If you already paid for your 1099 e-filings, you won't be charged again when you resubmit.
  1. Go to the Contractors tab.
    • QuickBooks Online and QuickBooks Online Payroll: Go to Payroll, and select Contractors 
    • QuickBooks Contractor Payments only: Go to Contractors, then Contractors.
  2. Select Prepare 1099s.
  3. Follow the steps to create and e-file your 1099-NEC or 1099-MISC. Be sure to review and update if needed your company's legal and contractor info, including their legal name, tax identification numbers, and addresses.

Once complete, each contractor will be mailed a new paper and electronic copy of their 1099 form.

For more info see:

QuickBooks Online AdvancedQuickBooks Online EssentialsQuickBooks Online Payroll CoreQuickBooks Online Payroll EliteQuickBooks Online Payroll PremiumQuickBooks Online PlusQuickBooks Online Simple Start

Sign in now for personalized help

See articles customized for your product and join our large community of QuickBooks users.