E-file 1099's

[tborgal]

I have run into a couple of issues with e-filing 1099's. One of the people I need to send a 1099 to lives in Germany as a missionary. The system will not except the address since it is looking for a specific format that the German address does not match. Is there a way to get around this? My current solution is to print the forms and mail everything. Also since I have done this and no longer can use the efile option, is there a way to delete the information which was uploaded in error for the rest of the people I need to send 1099's to?

W2 efile option worked great.

[Jeff]

I'll check for more information. One question, do they have a US address to send things to?

[tborgal]

No they do not. Their permanent address is in Germany.

[Tracy]

Once you have successfully uploaded data to the electronic filing service.
When you begin to process forms, you have the ability to select which forms will be processed.
When you get to the step "Submit Forms", there is a button above the SubTotal "Remove Payer". This will delete the forms from the service.

In the PowerChurch side, you have the ability to select who is to be processed prior to getting to submitting to the electronic filing service as well.

[tborgal]

Tracy,

Thank you that worked just fine as far as removing the information that had been uploaded.

Now the question about the foreign address. I can not leave them off the list to be uploaded because then the 1096 that would be e-filed will be wrong. It has to be all or nothing. That is unless the 1096 information gets transmitted for all recipients even if they are not all uploaded. However this would still require that I send the 1099 to the state. Don't know if It would be appreciated that they get one of the 1099's separately from the rest and it is an added cost.

If the 1096 info is derived from just those uploaded and I do not have them e-filed and just sent to each recipient. I would still have to purchase forms, print them locally and mail everything to the proper agencies. This would be an added expense and does not make any sense. I have to assume I am not the only one in this situation.

[Tracy]

I've sent a request out to the team that manages the electronic filing to see if it is possible to get the correct 1096 figures from processing the 1099-MISC two times from the initial upload.
The thought is to have you run the Germany address without sending the Recipient copy, then process the rest.

I'll post the answer when I hear back.

[Tracy]

I spoke with the team that manages the electronic filing. Electronic filing does not support foreign addresses. There are two options.

1) Check with your CPA to know if this is acceptable. Use the church address for the foreign address and forward the 1099 to the missionary after it arrives at the church. We do not feel this will be a problem with the IRS.

2) The IRS will accept the electronic filing and a separate 1096.

[tborgal]

As I think about this I do not feel that either of these option would work for me.

I would not want to jeopardize the missionaries standing as a permanent resident in Germany by putting a US address on the form as suggested in option 1. Although I would have to investigate this further.

The second option actually raises my cost since I would have to pay for not only the electronic filling, but I would have to purchase printed forms as well. This would double my cost for producing 1099's.

I guess I will just have to continue to print the 1099's and associated forms as I have been doing in the past. However I will look into option one and see if this has an adverse effect on foreign residency.

Thank Tracy you for looking into this.