The IRS FIRE (Filing Information Returns Electronically) System supports various file types for electronically filing information returns. Below is an overview of the main file types used in the FIRE System:
1. Original Files
- Purpose: Used to submit original, first-time information return data for the tax year.
- When to Use: File when submitting information returns for the first time in a tax year.
- Examples: Forms 1099 (MISC, NEC, INT, etc.), 1098, 5498, W-2G, and others.
2. Correction Files
- Purpose: Used to correct previously submitted information returns that had errors.
- Types of Corrections:
- Recipient Errors: Incorrect recipient name, TIN, or payment amounts.
- Transmitter Errors: Incorrect information related to the transmitter or payer.
- When to Use: After identifying errors in the original submission and ensuring the corrections meet IRS specifications.
3. Replacement Files
- Purpose: Used when a previously submitted file was rejected by the IRS.
- When to Use:
- If the IRS rejects an original or correction file.
- After making the necessary corrections to address the rejection issues.
- Key Note: Replacement files must use the same file name as the original rejected submission.
4. Test Files
- Purpose: Used to test the compatibility of your file format with IRS FIRE System specifications.
- When to Use: Before live filing, especially for new transmitters or when submitting a new type of form for the first time.
- Submission Period: Generally accepted by the IRS FIRE System starting in November for the upcoming tax year.
5. Combined Federal/State Filing (CF/SF) Files
- Purpose: Allows transmitters to file certain information returns directly with both the IRS and participating state agencies.
- Supported Forms: Includes some Forms 1099 (e.g., 1099-MISC, 1099-INT).
- Special Requirements: Ensure the file format complies with both IRS and state requirements.
