# Filing Form 1099-NEC (browser automation) How an agent equipped with browser tooling files Form 1099-NEC with the IRS and delivers Copy B to recipients. This file describes deterministic flows; it's complementary to `SKILL.md`, which produces the issuance plan or recipient reconciliation. The agent must produce a complete `SKILL.md`-format issuance plan *first*, then pick a filing channel from the decision tree, then execute channel-specific steps. This file applies to the **payor side** (issuing 1099-NECs). Recipients do not file 1099-NEC themselves — they receive Copy B and use the data to fill out Schedule C / Schedule 1, which has its own filing path. --- ## Channel decision tree ``` Issuing 10+ information returns total in the calendar year (any 1099 + W-2 combined)? → Electronic filing is MANDATORY (IRC §6011(e); T.D. 9972) → Use IRIS (free) or a paid service. FIRE is retired: from filing season 2027 (tax year 2026 forms) IRIS is the only IRS intake system for information returns (Pub. 1099 (2026), What's New) → Skip paper Form 1096 Issuing < 10 information returns total? → Electronic optional, paper allowed → Default recommendation: still use IRIS (free, easier than paper) → Use Section 1 (IRIS) or Section 2 (paper) below Already paying for tax software or payroll service that issues 1099-NEC? → That software's 1099 module → Use Section 3 (generic pattern) ``` --- ## Section 1 — IRS IRIS (Information Returns Intake System) URL: https://www.irs.gov/filing/e-file-information-returns IRIS is the free IRS portal for filing 1099-series forms (NEC, MISC, K, INT, DIV, B, C, R, S, G, OID, PATR, Q, SA) plus Form W-2G. It has a Taxpayer Portal (manual entry / CSV upload, Pub. 5717) and an Application to Application channel (XML, Pub. 5718). A2A needs an IRIS Transmitter Control Code; Pub. 1099 (2026) says TCC applications typically take 45 business days, so apply early. **Account model**: payer registers an IRIS account (one per EIN). The IRS may require ID.me identity verification for the responsible individual. ### Pre-flight Agent must have: - The user's permission to log in / register on their behalf - Payer's legal name, EIN, address, phone - An ID.me account or equivalent for the responsible individual (mandatory in 2024+ for IRIS) - Each recipient's full data: legal name, TIN, address, Box 1 amount, Box 4 amount (if any), state info - The completed issuance plan from `SKILL.md` - An email the user controls (IRIS sends submission confirmations) ### Browser flow 1. **Navigate** to https://www.irs.gov/filing/e-file-information-returns 2. **Click** "Sign in to IRIS" → ID.me login flow 3. **Complete identity verification** — document upload + biometric. Agent **must pause** here for user to complete; do not attempt to bypass. 4. **Land on IRIS dashboard** — select "File Forms" → "Form 1099-NEC" 5. **Choose method**: - **Manual entry**: type each form one at a time (good for ≤ 5 forms) - **CSV upload**: agent prepares a CSV per IRIS schema (good for batches) 6. **Manual entry path** — for each recipient, fill: - Recipient name, address, TIN - Box 1a (Nonemployee compensation; Box 1 on 2025 forms) - Boxes 1b–1d (cash tips, TTOC, overtime) — 2026 forms only, usually blank for contractors - Box 2 (direct sales ≥ $5,000) — checkbox - Box 3 (excess golden parachute payments) — rare - Box 4 (Federal tax withheld) - Boxes 5-7 (state) — repeat for additional states - Account number (if used) 7. **CSV upload path** — agent generates CSV matching the IRIS template (download from IRIS site for current year), validates columns, uploads, and confirms each row landed 8. **Review summary** — IRIS displays each form with totals; verify against the issuance plan 9. **Submit** — IRIS produces a Submission ID. Save the screenshot. 10. **Wait for IRS acceptance** (usually within minutes). On rejection, IRIS displays the error code; common codes: - `T-NAME-MISMATCH` — recipient name/TIN combo doesn't match IRS records → re-verify W-9, possibly issue B-Notice - `TIN-INVALID` — TIN format wrong (not 9 digits) → fix and resubmit - `DUPLICATE-FILING` — same recipient + same year already filed → was this a correction? Use "Corrected" flag 11. **Distribute Copy B to recipients**: - IRIS offers an option to e-deliver Copy B to recipients with their consent - Otherwise, the payer mails Copy B (postmarked by January 31, or the next business day; February 1, 2027 for 2026 forms) — IRIS generates a printable Copy B PDF 12. **State filing**: if state is in CF/SF program, IRIS can submit to states. Otherwise, agent files separately with state DOR. ### What the agent should NOT do - Do not submit without the user's explicit go-ahead at step 9 - Do not bypass IRS identity verification - Do not store SSN / EIN / TIN in agent logs - Do not submit for the wrong tax year — IRIS lets you pick the year, but a misfile creates a duplicate-filing flag ### Failure modes | Symptom | Likely cause | Fix | |---------|--------------|-----| | "Identity verification failed" | ID.me biometric / document mismatch | Pause, ask user to complete via ID.me portal | | "Form rejected — TIN mismatch" | Recipient name/TIN combo wrong | Verify W-9, send B-Notice if necessary | | "Filing window closed" | Past deadline | Late-file with penalty (IRC §6721); use "Corrected" or "Late" flag | | Session timeout | Idle > 30 min | Log back in; IRIS saves drafts | --- ## Section 2 — Paper filing (Form 1096 + Copy A) For payers issuing < 10 information returns total who prefer paper. ### Assemble the return 1. **Form 1099-NEC Copy A** for each recipient (red ink scannable form — must be ordered from IRS or office supply store; cannot print from PDF and submit) 2. **Form 1096** — Annual Summary and Transmittal of US Information Returns. One Form 1096 per type of 1099 form. Submitting both 1099-NEC and 1099-MISC? Two 1096s. 3. **Form 1096** boxes: - Filer's name, address, TIN - Box 3: total number of forms transmitted - Box 5: total amount reported (for 1099-NEC, the box 1 and box 3 amounts per the Form 1096 instructions) - Box 6: form type code (form 1099-NEC has its own code: "71") ### Mailing address The IRS mailing address for paper Form 1096 + 1099-NEC Copy A varies by state. The IRS posts current addresses at: https://www.irs.gov/pub/irs-pdf/p1099.pdf (Pub. 1099, General Instructions for Certain Information Returns — the former "General Instructions" document) and the Form 1096 instructions Look up the address by: 1. Form type (1099-NEC) 2. Filer's state Do not hardcode — the IRS shifts addresses periodically. ### Mailing best practices - Send via **USPS Certified Mail with Return Receipt** for proof of timely filing - Postmark by **January 31** (next business day if it falls on a weekend or legal holiday; 1099-NEC has the same IRS deadline as recipient deadline) - Keep a complete photocopy of the entire submission ### Copy B to recipient - Print Copy B from IRS PDF (this copy can be printed in black ink — only Copy A must be the red ink scannable form) - Mail to recipient by January 31 (or e-deliver with prior consent under IRS Pub. 1179 e-delivery rules) --- ## Section 3 — Generic third-party software pattern For users with QuickBooks, Track1099, Tax1099, Gusto, Rippling, or similar: 1. Sign in → 1099 / Year-end module 2. Confirm payer info (EIN, address) 3. Import or enter recipients (most platforms pull from existing vendor records) 4. Verify each recipient's W-9 status and TIN match 5. Enter Box 1 amounts (often pulled automatically from payment records — verify against payer's GL) 6. Software files with IRS (e-file under the platform's IRIS transmitter control code) AND distributes Copy B to recipients (mail or e-delivery) 7. Pay platform fee per form (typically $2-5 per recipient) Most platforms file CF/SF states automatically. Verify state coverage in the platform's documentation before relying. --- ## Section 4 — Backup withholding deposits (Form 945) If the payer withheld 24% backup withholding on any payment: 1. Deposit the withheld amount with the IRS by EFT (EFTPS, IRS Direct Pay, or business tax account) using deposit schedules per IRC §6302 (monthly or semi-weekly depending on the Form 945 liability in the second preceding calendar year — Pub. 15 (2026), section 11) 2. File **Form 945** (Annual Return of Withheld Federal Income Tax) by **January 31** (or February 10 if all deposits made on time); February 1, 2027 for 2026 3. Report total backup withholding on Form 945 Line 2 (Line 1 is for pension, annuity, IRA, and gambling withholding) 4. The Form 945 total must equal sum of Box 4 across all 1099s issued See https://www.irs.gov/forms-pubs/about-form-945 for current Form 945. --- ## Section 5 — Corrections If a 1099-NEC was filed with errors: - **One-step correction** (wrong dollar amount, wrong recipient address): file a corrected 1099-NEC with the "Corrected" box checked, showing the correct amount. Send a corrected Copy B to the recipient. - **Two-step correction** (wrong TIN, wrong recipient name): file two forms — one with original (incorrect) info and $0 in Box 1 marked Corrected; then a separate new 1099-NEC with correct info. See Pub. 1099 (2026), part H, for paper corrections; Pub. 5717 (IRIS Taxpayer Portal) and Pub. 5718 (IRIS A2A) for electronic corrections. --- ## Section 6 — Submission state machine After filing: 1. **Submitted** — sent to IRS via IRIS / paper 2. **Accepted** — IRS acknowledges; for IRIS, usually within minutes 3. **Processed** — IRS posts to recipient's account; appears on recipient's IRS account transcript 4. **Notices** — Notice 972CG proposes information-return penalties (late or incorrect filing); CP2100 / CP2100A lists name/TIN mismatches that start the B-Notice process Status checks: - IRIS dashboard shows submission status - IRS sends confirmation email per submission - Recipients can verify their 1099-NEC appeared on their IRS account transcript (https://www.irs.gov/individuals/get-transcript) --- ## Security and consent rules for the agent These are non-negotiable: 1. **Never file without explicit user consent** at the moment of submission. "I authorize you to file these 1099-NECs through IRIS now" must be captured. 2. **Never store SSN, EIN, TIN, or banking data** in agent logs, vector stores, or transcripts. Pull at filing time, use, discard. 3. **Never bypass IRS identity verification or ID.me.** If the system asks the user to prove identity, pause and let the user respond directly. 4. **Always capture submission confirmations** as screenshots stored under the user's account. 5. **If a TIN mismatch appears**, surface it — do not silently file with a known-bad TIN. The fix flow involves a B-Notice to the recipient, not a workaround. 6. **Recipient consent for e-delivery**: payer must obtain affirmative recipient consent before e-delivering Copy B (Reg. §31.6051-1(j) for W-2; analogous Pub. 1179 rules for 1099). Do not e-deliver without consent on file.