Why would my 1099-NEC keeps getting rejected? I have filed the same forms every year without issue.

Hello there, @julied9.

It's indeed essential to submit your Federal 1099s to stay compliant and avoid related issues. Hence, I'll ensure you get the information you need to fix rejected forms.

In QuickBooks Online (QBO), you'll receive an email about the rejection of your 1099 forms from the Internal Revenue Service (IRS). The following could be the explanation for why your form was rejected:

• Identification number (EIN) or Social Security number (SSN) does not match the records of the IRS.
• It appears that one or more of your contractors have an incorrect address.

To get this resolve, you must resubmit your 1099s with the updated information. To begin with, let's review which forms were rejected. Here's how:

1. Open your QBO company.
2. Select Taxes, then 1099 filings.
3. Find the alert on the page that explains why the IRS declined your 1099 forms.

Then, let's void your 1099 forms that have been rejected by selecting Void forms from the 1099 filings tab.

Once done, proceed to Steps 3 and 4 to update and resubmit your forms: Fix rejected 1099 forms.

On the other hand, you might want to review these resources to help you validate your Tax Identification Number and learn more about EIN: 

• Taxpayer Identification Number (TIN) Matching
• Online EIN: Frequently Asked Questions

I'll be around if you need further assistance fixing denied 1099s or other concerns in QuickBooks Online. I can always lend a hand.

I had the same issue and it is based on my company name and EIN. I have not made any changes and my 1099s go through every year. 

When do the fixed 1099s need to be submitted? Is there a date? 

Same issue. I have 240+ 1099 NECs that keep getting rejected and I cannot identify which records are being rejected, it just rejects all of them. I've contacted quickbooks 3 times and no one can help me identify the error so far. The IRS 1099 efile helpline is offline due to call volume. What a nightmare. 

I have same issue.  1099 from last year is mirror image of this year and it keeps getting rejected

I appreciate you all for bringing this to our attention.

When e-filing your 1099 forms in QuickBooks Online (QBO), rejections may occur if your company's legal name, EIN, or SSN doesn't match the IRS records. To resolve this, you'll want to review and update your company info by following these steps:

1. Go to Payroll and select Contractors.
2. Click Prepare 1099.
3. Review your company's legal name and tax identification number. Select Edit to make changes. Don't abbreviate your legal information.
4. Click Save.

I'll share this article for the complete guide to correcting your rejected 1099 forms: Fix rejected 1099 forms.

It's important to note that 1099 forms are due to the IRS and your contractors by January 31. However, the e-file is open until April 30.

Once confirmed that your company information is accurate, I recommend reaching out to our customer support team. This way, they'll be aware of the emerging issue of rejected 1099-NEC forms and raise an investigation if necessary.

Additionally, you can print 1099 forms in QBO if you need to give physical copies to your contractors.

Feel free to get back to us in this thread if you need further assistance fixing your rejected 1099s. The Community is here to address your concerns. Stay safe.

Hello,

I just worked on it with customer service. After looking into it for 30 mins they said engineering is aware of an issue and to re submit it again.  So that's what I did.  Also my 1099 are exactly the same info as last year.  My guess is that it will be rejected for a fourth time shortly.

I am having the exact same issue. I helped my dad file his 1099s through quickbooks too and he got the same rejection. I have verified all info on my end and verified info IRS has on file and resubmitted for both ours and my dads and they got rejected again. 

I followed what QuickBooks customer service said and re submitted but it was rejected for a fourth time today.  So any other ideas? 

I understand how important it is to submit your 1099 NEC on time to stay compliant and avoid any related issues, simplywiredca. I also understand the inconvenience this may have caused you.

Since you have already tried to resubmit it for the fourth time, I suggest that you take a look at the alerts on the page as they will indicate why the IRS rejected your 1099-NEC or 1099-MISC filings. 

If the page displays the following reasons for rejection - Your company's legal name, EIN, or SSN doesn’t match IRS records exactly, or the contractor's address(es) doesn't match IRS records. The most common reason for this is an incomplete ZIP code, wrong state, or a non-US address. Please comply with these instructions and then attempt to resubmit your 1099 NEC forms again.

However, if you have already complied and are still experiencing rejections, I suggest that you contact our  QuickBooks Online Payroll Support team. They can provide specific information and offer assistance in addressing your concerns. To connect with them, please follow these steps: 

1. Sign in to your QuickBooks Online company.
2. Go to Help (?) and select Contact Us.
3. Enter your concern, then select Let's talk.
4. Choose a way to connect with us:

• Start a chat with a support expert.
• Get a callback from the next available expert.
• Ask the community to get help from businesses like yours.

I'll share an article for a complete guide to correcting your rejected 1099 forms: Fix rejected 1099 forms.

Additionally, if you need to give physical copies of 1099 forms to your contractors, you can print 1099 forms in QBO. 

If you have any further questions about recording 1099 in QBO, don't hesitate to reach out to us anytime. I'll be happy to help. Best regards. 

i just got off the phone with QB and since the filing for the forms closed on Jan. 31st, we have to wait until IRS opens the time frame for corrections to be submitted (which i cant find any information on anywhere at this time) The QB agent they should go through then...we shall see!

I have the same problem--my client's 1099-NEC's were rejected twice for "invalid or missing information regarding your client(s)' company information, i.e. company name or EIN doesn’t match IRS records, or one of your client(s)' Recipients' information". The email you guys sent me yesterday said to void them and resubmit them, but since it's after the deadline, am I still able to do this? I, too, was on a chat with one of your agents and he wasn't able to help me. What are my options for correcting this problem at this point? Also, if we chose the email option for recipients, have they already received the 1099's even though they were rejected by the IRS? The agent couldn't help me with that either.

I appreciate that you've followed the said steps provided by my colleague, CoolMoney. 

As much as we would like to provide you with some options for correcting or filing your  1099, it's best to contact the IRS since the deadline for submitting the 1099-NEC has already passed. Doing these will allow them to assist you with what to do next or provide information on how to proceed with your filings. In addition, please know that the said recipient won't be able to receive the rejected forms if the IRS rejects the 1099.

You may utilize this guide to learn more about 1099: Get answers to your 1099 questions

We're all ears if you ever want to share some additional details regarding how it went as you contact the IRS. You're also free to leave a comment below if you have other questions aside from this. We're always here to guide you. 

I didn't file them late--I filed them before the deadline and they got rejected. And then the email from QuickBooks yesterday (a day after the deadline) said that they had been rejected and that I should void the 1099's and resubmit them through QuickBooks. So, my question to you is what are my options--was the guidance in the email from you guys incorrect?

Thanks for getting back to the thread, @CoolMoney. Let me join into this conversation and provide you with further clarification about the email that you've received. 

There are two possible explanations for why your 1099-NECs were rejected. 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 fix the rejection, you must void your 1099s, update the incorrect info, and then e-file them again. 

Here are the steps to void your 1099 forms and update them:

1. From the 1099 filings tab, select Void forms.
2. Then, correct the info that caused the rejection. Go to the Contractors menu and select Prepare 1099.
3. Review your company's legal name and tax identification number.
4. Then, click Edit ✎ to see more info or to make a correction.

When you're done, you can resubmit your 1099s again. 

For additional, please check out this resource: Correct or change 1099s in QuickBooks.

If you have additional questions about amending 1099s in the program, just add them to the thread. I'm always here to help. Have a good one.

When I followed these instructions, QB does not indicate what the error is or show any flags for incorrect information. Yet my entries continue to be rejected. I have over 200 1099s and have verified the information as correct to the best of my ability. I don’t understand why QB cannot show me where the error occurs so I can fix those forms. 

I think the correct answer is incompetence. My 1099s are exactly the same as 2022 yet it says the solution is checking address,  ID number. It is EXACTLY the same with zero changes but the help is just copy and pasting a guide they have. No real solutions. The customer service is equally not helpful. I’m talking to people in a loud room with tons of background noise. It is very frustrating to pay $50 a month and QuickBooks drops the ball this bad with no answers

I appreciate that you've followed the steps above, ystarbuck. Let me connect you to the best person to assist you in achieving this as soon as possible.

I recommend contacting our Payroll Support Team. They have the tools that can check your account and help you why your 1099s are getting rejected.

Here's how to reach them:

1. Click the Help menu in the upper-right-hand corner.
2. Type in "Talk to a human", then press Enter.
3. Select Contact Support Team.
4. Type again Talk to a human and click Contact Support Team.
5. Choose a way to connect with us.

Here are some articles that provide further information on preparing 1099 forms within the program:

• Get answers to your 1099 questions.
• Modify your chart of accounts for your 1099-MISC and 1099-NEC filing.

If you have any further concerns about your 1099 in the QuickBooks Online, please don't hesitate to share them with the community. We are eager to help you. Stay safe!

My 1099’s were rejected 5 times.  I had no help at all from Quickbooks.  Then I called the IRS. Settled all issues and then refiled with a CPa.  I am still having trouble and rejected.  I am calling the IRS business Ein number until I get resolution. Something is wrong with this system. 

I was told by the CPA that the 1099 are processed and therefore not late. Call the IRS to try and resolve I am going to be persistent. Something is wrong with QBO and there 1099 reps were not knowledgeable or able to help with anything 

Call the the IRS 800-829-4933 on Monday

I have contacted a CPA for help to file 

I am also calling the IRS Business EIN number to see if they have answers 

Contact the IRS directly 800-829-4933

I got you, @pppr. I'll provide the steps for contacting our support team in QuickBooks Online Payroll. We understand the frustration of not having this process as anticipated and the significance of getting this fixed as quickly as possible.

Since you've tried to perform the basic troubleshooting steps as suggested by my colleague above. I urge you to call our support team so they can further assist you on how to remove this bug, and you will able to file a 1099 within QuickBooks Online.

Please see the steps below:

1. Log in to your account.
2. Click the Help button at the top right corner.
3. Go to the Search tab, then select Contact Us.
4. Enter a brief discussion with your concern, then click Continue.
5. Choose to Have us call you to connect with us.

For your convenience, here are the support hours for different QuickBooks Online plans:

Plus, Essentials, Simple Start:

• Monday to Friday: 6 AM to 6 PM PT
• Saturday: 6 AM to 3 PM PT

Advanced:

• Support is available anytime, any day.

The Community is here for you 24/7 on the clock. If you need to drop your additional comments, notify us below. Keep safe.