Post by Admin on Sept 26, 2016 17:30:40 GMT
August 26, 2016
Dear 1099 Express Customer: Attention ACCOUNTING and PAYROLL
You probably don't know it yet, but an extraordinary new burden had been added to your business for W-2s and 1099s.
Your business must File to the FEDS by January 31, 2017 if
1. You have Form 1099-Misc with money in Box 7 (Vendors, Contractors, etc.) the most common situation, or
2. You have W-2 payroll forms.
For all other 1099 Series Forms, such as 1098-Mortgage, 1099-S, 1099-Misc with other boxes, 1099-A, 1099-B, 5498, etc. the e-Filing deadline remains March 31, 2017.
MORE BAD NEWS:
1. Late filing penalties have increased up to $260.00 per form. See IRS quote below, and
2. The 30 day automatic extension of time to e-File is gone, See IRS quote below.
3. The IRS FIRE site does not open until January 17th, 2017.
4. Congressman Kevin Brady created this new deadline. Read More: www.1099Express.com/BadPath.asp
We know many of our customers think they can meet this deadline, since they e-File themselves, and have a reasonably small number of companies and forms. We know from experience, that during deadline times, the IRS FIRE site can bogg down and fail. And the only time you can get in could be late at night or after the deadline. However, many of our software customers just can't shift their procedures quickly enough, and will never make the January 31 e-Filing deadline.
PROTECT YOURSELF - FILE FORM 8809 NOW
File for IRS FORM 8809 "Application for Extension of Time" NOW. See IRS Extension Quote below. Include a LETTER explaining why the new deadline created a extraordinary hardship and impossible burden. This is the case for many of you. Ask for the 30 days extra time they offer. Like a W-9, the letter must be signed under penalties of perjury.
Even if the IRS denies your application, you can't be accused of "Willful Neglect", and you may have better grounds to beat the penalty by being pro-active about it. Please let me know how the IRS responds!
Ignore the language on the back of the Form 8809 (most is incorrect). Do not wait until January to File form 8809 and your LETTER. You must do this for every company (and every client if you are a Tax Professional).
Extraordinary Reasons (in your own words) could include:
1. Dependence on others that is out of your control to get the e-filing data quickly enough.
2. This is the first year, and a surprise new filing burden.
3. We cannot shift our procedures quickly enough to meet the deadline.
4. Dependence on IT and Tech Support to import the necessary data into the e-Filing software.
5. Triple the duties: 1. Printing, 2. Mailing AND 3. e-Filing all in 1 month? Are you kidding?
6. We may not be able to rely on our software company's Tech Support systems.
7. Our software company may not be able e-Filing for all customers in the last 2 weeks of January, 2017.
8. Printing is often easy, but e-Filing is more technical and takes more time.
9. e-Filing includes: Tin-Name Matching, filtering, validating, exporting, importing, e-Filing software.
10. Your volume, if large, will also be a factor.
11. There is no time for year end IRS Tin-Name Matching System to work.
12. The rush to e-File will significantly increase our Tin-Name matching penalties.
13. Tin-Name matching penalties are always discovered late thus higher penalties.
14. The rush to e-File will unnecessarily increase our burden to file corrections.
15. When payees report errors on printed forms, it's too late, already e-Filed.
16. The normal reporting cycle is unnecessarily and foolishly corrupted.
17. There is very little margin for error. E-Filing is complicated and you could easily be late.
18. We respectfully request 30 day extension to solve these extraordinary problems.
PROTECT YOURSELF BY E-FILING TO THE IRS YOURSELF
Our Service Bureaus, even with addional staff, can not guarantee that we can compress what normally takes 3 months, in to the last TWO weeks of January. And we are never responsible for penalties. The IRS e-Filing site (F.I.R.E) does not open until January 17, 2017 for REAL (Non-Testing) e-Filing. And all forms are due by January 31. That tiny window may be impossible for us. The FIRE SYSTEM may collapse under the volume. Please take these steps:
1. Learn to e-File with your own TCC. It's FREE with 1099 Express! So you don't have to depend on our Service Bureau!
2. Get your Transmitter Control Code (TCC) now. Just one TCC does ALL your companies and clients.
3. Get IRS FORM 4419 by clicking here: www.irs.gov/pub/irs-pdf/f4419.pdf
4. Fax Form 4419 to the IRS per instruction No. 9.
5. The FIRE system opens November 1, 2016 for Test files.
6. Practice e-Filing in November when we can assist you.
7. Use the Video Help in the program. It walks you through e-Filing.
8. Use Help Menu Topic No. 10 for how to e-File.
9. Do not wait until January to call for help.
10. e-File as soon after January 17th as possible.
NOTE! Our Dallas Service Bureau, headed by Barbara McMahon and staff can still PRINT AND MAIL your forms by the end of January. Last year, they printed and mailed 530,000 forms for our customers! They are geared up for very high volume of printing in a short time and have many years of experience doing high quality work. Call 214-534-1210 for pricing and information!
IRS QUOTE Extensions: Source: www.irs.gov/pub/irs-pdf/iw2w3.pdf
"Extensions of time to file. Extensions of time to file Form W-2 with the SSA are no longer automatic. For filings due on or after January 1, 2017, you may request one 30-day extension to file Form W-2 by submitting a complete application on Form 8809, Application for Extension of Time to File Information Returns, including a detailed explanation of why you need additional time and signed under penalties of perjury. The IRS will only grant the extension in extraordinary circumstances or catastrophe. See Extension to file for more information. This does not affect extensions of time to furnish Forms W-2 to employees. See Extension of time to furnish Forms W-2 to employees for more information."
IRS QUOTE Penalties: Source: www.irs.gov/pub/irs-pdf/i1099gi.pdf
"The amount of the penalty is based on when you file the correct information return. The penalty is as follows. $50 per information return if you correctly file within 30 days (by March 30 if the due date is February 28); maximum penalty $532,000 per year ($186,000 for small businesses, defined below). $100 per information return if you correctly file more than 30 days after the due date but by August 1; maximum penalty $1,596,500 per year ($532,000 for small businesses). $260 per information return if you file after August 1 or you do not file required information returns; maximum penalty $3,193,000 per year ($1,064,000 for small businesses)."
Finally:
1. We believe the IRS QUOTE about extensions for W-2 forms ALSO Applies to 1099-Misc forms with money in Box 7. The 1099 General Instructions for Tax Year 2016 are still under revision as the date of this e-Mail.
2. Let our Service Bureaus preform your Tin-Name matching early in September, October and November. Do not wait until December or January.
3. We have talked to our good friends of many years at the IRS FIRE site. They are trying to make the January 17th date earlier, but this may not be possible due to complicated re-programming for e-Filing on the IRS side. Please check with FIRE at 866-455-7438, in the months to come. The date might be earlier. If so, you should try to e-File sooner to avoid the impossible rush to come.
Sincerely, 1099Express.com, Inc.
Dear 1099 Express Customer: Attention ACCOUNTING and PAYROLL
You probably don't know it yet, but an extraordinary new burden had been added to your business for W-2s and 1099s.
Your business must File to the FEDS by January 31, 2017 if
1. You have Form 1099-Misc with money in Box 7 (Vendors, Contractors, etc.) the most common situation, or
2. You have W-2 payroll forms.
For all other 1099 Series Forms, such as 1098-Mortgage, 1099-S, 1099-Misc with other boxes, 1099-A, 1099-B, 5498, etc. the e-Filing deadline remains March 31, 2017.
MORE BAD NEWS:
1. Late filing penalties have increased up to $260.00 per form. See IRS quote below, and
2. The 30 day automatic extension of time to e-File is gone, See IRS quote below.
3. The IRS FIRE site does not open until January 17th, 2017.
4. Congressman Kevin Brady created this new deadline. Read More: www.1099Express.com/BadPath.asp
We know many of our customers think they can meet this deadline, since they e-File themselves, and have a reasonably small number of companies and forms. We know from experience, that during deadline times, the IRS FIRE site can bogg down and fail. And the only time you can get in could be late at night or after the deadline. However, many of our software customers just can't shift their procedures quickly enough, and will never make the January 31 e-Filing deadline.
PROTECT YOURSELF - FILE FORM 8809 NOW
File for IRS FORM 8809 "Application for Extension of Time" NOW. See IRS Extension Quote below. Include a LETTER explaining why the new deadline created a extraordinary hardship and impossible burden. This is the case for many of you. Ask for the 30 days extra time they offer. Like a W-9, the letter must be signed under penalties of perjury.
Even if the IRS denies your application, you can't be accused of "Willful Neglect", and you may have better grounds to beat the penalty by being pro-active about it. Please let me know how the IRS responds!
Ignore the language on the back of the Form 8809 (most is incorrect). Do not wait until January to File form 8809 and your LETTER. You must do this for every company (and every client if you are a Tax Professional).
Extraordinary Reasons (in your own words) could include:
1. Dependence on others that is out of your control to get the e-filing data quickly enough.
2. This is the first year, and a surprise new filing burden.
3. We cannot shift our procedures quickly enough to meet the deadline.
4. Dependence on IT and Tech Support to import the necessary data into the e-Filing software.
5. Triple the duties: 1. Printing, 2. Mailing AND 3. e-Filing all in 1 month? Are you kidding?
6. We may not be able to rely on our software company's Tech Support systems.
7. Our software company may not be able e-Filing for all customers in the last 2 weeks of January, 2017.
8. Printing is often easy, but e-Filing is more technical and takes more time.
9. e-Filing includes: Tin-Name Matching, filtering, validating, exporting, importing, e-Filing software.
10. Your volume, if large, will also be a factor.
11. There is no time for year end IRS Tin-Name Matching System to work.
12. The rush to e-File will significantly increase our Tin-Name matching penalties.
13. Tin-Name matching penalties are always discovered late thus higher penalties.
14. The rush to e-File will unnecessarily increase our burden to file corrections.
15. When payees report errors on printed forms, it's too late, already e-Filed.
16. The normal reporting cycle is unnecessarily and foolishly corrupted.
17. There is very little margin for error. E-Filing is complicated and you could easily be late.
18. We respectfully request 30 day extension to solve these extraordinary problems.
PROTECT YOURSELF BY E-FILING TO THE IRS YOURSELF
Our Service Bureaus, even with addional staff, can not guarantee that we can compress what normally takes 3 months, in to the last TWO weeks of January. And we are never responsible for penalties. The IRS e-Filing site (F.I.R.E) does not open until January 17, 2017 for REAL (Non-Testing) e-Filing. And all forms are due by January 31. That tiny window may be impossible for us. The FIRE SYSTEM may collapse under the volume. Please take these steps:
1. Learn to e-File with your own TCC. It's FREE with 1099 Express! So you don't have to depend on our Service Bureau!
2. Get your Transmitter Control Code (TCC) now. Just one TCC does ALL your companies and clients.
3. Get IRS FORM 4419 by clicking here: www.irs.gov/pub/irs-pdf/f4419.pdf
4. Fax Form 4419 to the IRS per instruction No. 9.
5. The FIRE system opens November 1, 2016 for Test files.
6. Practice e-Filing in November when we can assist you.
7. Use the Video Help in the program. It walks you through e-Filing.
8. Use Help Menu Topic No. 10 for how to e-File.
9. Do not wait until January to call for help.
10. e-File as soon after January 17th as possible.
NOTE! Our Dallas Service Bureau, headed by Barbara McMahon and staff can still PRINT AND MAIL your forms by the end of January. Last year, they printed and mailed 530,000 forms for our customers! They are geared up for very high volume of printing in a short time and have many years of experience doing high quality work. Call 214-534-1210 for pricing and information!
IRS QUOTE Extensions: Source: www.irs.gov/pub/irs-pdf/iw2w3.pdf
"Extensions of time to file. Extensions of time to file Form W-2 with the SSA are no longer automatic. For filings due on or after January 1, 2017, you may request one 30-day extension to file Form W-2 by submitting a complete application on Form 8809, Application for Extension of Time to File Information Returns, including a detailed explanation of why you need additional time and signed under penalties of perjury. The IRS will only grant the extension in extraordinary circumstances or catastrophe. See Extension to file for more information. This does not affect extensions of time to furnish Forms W-2 to employees. See Extension of time to furnish Forms W-2 to employees for more information."
IRS QUOTE Penalties: Source: www.irs.gov/pub/irs-pdf/i1099gi.pdf
"The amount of the penalty is based on when you file the correct information return. The penalty is as follows. $50 per information return if you correctly file within 30 days (by March 30 if the due date is February 28); maximum penalty $532,000 per year ($186,000 for small businesses, defined below). $100 per information return if you correctly file more than 30 days after the due date but by August 1; maximum penalty $1,596,500 per year ($532,000 for small businesses). $260 per information return if you file after August 1 or you do not file required information returns; maximum penalty $3,193,000 per year ($1,064,000 for small businesses)."
Finally:
1. We believe the IRS QUOTE about extensions for W-2 forms ALSO Applies to 1099-Misc forms with money in Box 7. The 1099 General Instructions for Tax Year 2016 are still under revision as the date of this e-Mail.
2. Let our Service Bureaus preform your Tin-Name matching early in September, October and November. Do not wait until December or January.
3. We have talked to our good friends of many years at the IRS FIRE site. They are trying to make the January 17th date earlier, but this may not be possible due to complicated re-programming for e-Filing on the IRS side. Please check with FIRE at 866-455-7438, in the months to come. The date might be earlier. If so, you should try to e-File sooner to avoid the impossible rush to come.
Sincerely, 1099Express.com, Inc.