The IRS is retiring the FIRE system on December 31, 2026. This page is your central resource for the transition, from understanding the change, to evaluating your product options, to getting started if you move to the cloud.
The IRS is permanently shutting down the FIRE (Filing Information Returns Electronically) system on December 31, 2026. Starting with Tax Year 2026 returns — due in early 2027 — all federal electronic information return filings must go through the IRS's new Information Returns Intake System (IRIS).
This is one of the most significant changes to information reporting in decades, and it affects every organization that files 1099s, W-2Gs, 1098s, 1042-S, and other information returns electronically.
Sovos has been working with IRIS since 2021 and was one of the earliest and largest adopters of the platform. We've already transmitted millions of forms through IRIS.
IRIS isn't just a new upload portal — it's a fundamentally different system. Here are the key changes that will affect your filing workflow:
IRIS requires XML instead of the legacy 1220 ASCII flat file format that FIRE used. This is a complete structural change in how return data is prepared and transmitted.
IRIS requires separate first name, last name, and business name fields. Combined name fields that worked in FIRE will not be accepted, and incorrect formatting can trigger Name/TIN mismatches and penalties.
Unlike FIRE, where errors were often discovered months later through B-Notices or CP2100s, IRIS validates data at submission. Mismatched Name/TINs can result in penalties of up to $340 per return.
FIRE required full file resubmission. IRIS supports targeted, record-level corrections — but the process is different, and the IRS is still finalizing how FIRE-originated corrections will work.
Your existing FIRE Transmitter Control Code cannot be used with IRIS. Filing through IRIS requires an IRIS-specific TCC.
While the IRS moves to IRIS, most states still accept or require the legacy FIRE/1220 format. Dual-format filing may be necessary for organizations with state reporting obligations.
| Date | What happens |
|---|---|
| Now through December 2026 | FIRE and IRIS are both active. Tax Year 2025 returns can still be filed or corrected through FIRE. |
| December 31, 2026 | FIRE system permanently retires. No further submissions will be accepted. |
| Filing Season 2027 (TY2026) | IRIS is the only system for federal electronic information return filing. Your renewed 1099 Pro software will include IRIS support via the Sovos Service Bureau. |
| TBD — IRS to publish | Guidance on correcting returns originally filed through FIRE via IRIS. We'll update this page once available. |
Sovos has been working with IRIS since 2021 and was one of the earliest and largest adopters of the platform. We've already transmitted millions of forms through IRIS and have built deep operational experience with the system.
When you renew your software for the 2026 tax year, your updated version will include the tools and workflows needed to file through IRIS via the Sovos Service Bureau.
The Service Bureau will transmit your filings to the IRS using our established IRIS Transmitter Control Code — the same infrastructure we've used to process millions of returns. You don't need to apply for your own TCC or manage the IRS credentialing process.
1099 Pro desktop customers will file via the Service Bureau for Tax Year 2026, which means you will not have to apply for your own TCC through the IRS. Due to IRIS limitations, self-filing will no longer be possible.
The shift from 1220 flat files to XML is significant, but it's our job to manage that complexity on your behalf through the Service Bureau.
We'll share detailed workflow instructions — including any changes to how you prepare and export your data — in a follow-up communication before renewal season.
No immediate action is required, but here are a few things to keep in mind:
Additional information will be coming soon. When you renew for the 2026 tax year, your updated software will include IRIS support.
With IRIS requiring stricter name formatting and real-time validation, clean data will be more important than ever. If you have combined name fields or historically high B-Notice rates, now is a good time to begin cleanup.
We'll be in touch with detailed instructions, including any data preparation changes and the correction workflow once the IRS publishes final guidance.
If you filed Tax Year 2025 (or earlier) returns through FIRE and need to submit corrections after the FIRE system retires, the IRS is still developing the process for how those corrections will work through IRIS.
The IRS has confirmed that FIRE-formatted filings will not be accepted into IRIS. Corrections to FIRE-originated returns will need to follow the new IRIS correction workflow once published. We'll update this section as soon as guidance is available.
In the meantime, do not delete your original FIRE filing data. You'll need it for the correction process once the IRS provides instructions.
Yes. When you renew your 1099 Pro desktop software for the 2026 tax year, the updated version will include IRIS support through the Sovos Service Bureau.
No. The Sovos Service Bureau will transmit your filings using our established IRIS Transmitter Control Code. You don't need to apply for your own TCC or manage the IRS credentialing process.
Yes. Your 1099 Pro desktop software will continue to function for data entry, form preparation, printing, and recipient delivery. The change is in how federal electronic filing is transmitted to the IRS — that step moves to IRIS via the Sovos Service Bureau.
The core workflow remains similar: prepare your data in 1099 Pro, then upload to the Sovos Service Bureau for electronic filing. The key difference is that the Service Bureau will now transmit to the IRS through IRIS (XML format) instead of FIRE (1220 format). Sovos handles that conversion on your behalf.
Most states still accept the legacy 1220/FIRE format. Sovos handles both federal (IRIS/XML) and state (1220) filing through the Service Bureau, so you don't need to manage dual submissions yourself.
The IRS is still finalizing the correction process for FIRE-originated returns through IRIS. We'll publish specific instructions as soon as the IRS provides guidance. In the meantime, do not delete your original FIRE filing data — you'll need it for the correction process.
With IRIS changing how federal filing works, this is a natural moment to evaluate whether 1099 Pro Cloud might be a better fit for your organization. Both products will fully support IRIS filing for Tax Year 2026 — so this is about which workflow and pricing model works best for your team, not whether you'll be covered.
Use the comparison below to help make your decision. And if you're considering the move to Cloud, we're offering a one-time transition incentive for desktop customers evaluating the switch. Contact us below to learn more.
Keep using the software you know. IRIS compliance is handled through the Service Bureau.
A single platform with filing, validation, corrections, and delivery built in. No Service Bureau step.
Many of the services above (TIN matching, corrections processing, print & mail, eDelivery) are available on both platforms. With Desktop + Service Bureau, they are purchased as additional services. With Cloud, they are included in your subscription. The feature comparison below has details.
| Feature | Desktop + Service Bureau | 1099 Pro Cloud |
|---|---|---|
| Filing & Compliance | ||
| IRIS (XML) federal e-filing | ✓via Service Bureau | ✓Built-in, native |
| Real-time IRS validation at submission | ✓Validation by Service Bureau | ✓In-platform, during filing |
| TCC required from customer | No — Sovos TCC used | No — Sovos TCC used |
| Corrections processing | ✓Available via SB; additional charge | ✓Included in subscription |
| State filing — CF/SF | ✓Included in federal eFile orders | ✓Included in subscription |
| State filing — 1099-NEC direct state reporting | ✓Available via SB | ✓Available as add-on |
| Direct state filing (Enterprise) | ✓Enterprise supports filing on own | N/A — handled by platform |
| Forms Supported | ||
| All 1099 series | ✓ | ✓ |
| W-2 | ✓ | ✓ |
| 1042-S / 1042 | ✓ | ✓ |
| 1098 series, W-2G, 3921, 3922, 5498 | ✓ | ✓ |
| Data Quality & Validation | ||
| Real-time TIN matching | — | ✓Included in subscription |
| Bulk TIN matching | ✓Via file submitted to SB; additional charge | ✓Included in subscription |
| Pre-filing error validation | ✓Desktop software validation | ✓Automated with guided correction suggestions |
| Data Import | ||
| CSV / Excel import | ✓ | ✓ |
| IRS 1220 format import | ✓ | ✓ |
| API access | — | ✓ |
| Recipient Delivery | ||
| Print & mail | ✓Via SB; additional charge | ✓Included in platform |
| eDelivery (electronic recipient copies) | ✓Via SB; additional charge | ✓Available as add-on |
| Users, Access & Maintenance | ||
| Unlimited users | License-based | ✓No per-seat fees |
| Multiple filers / EINs | ✓ | ✓ |
| Local software installation required | Yes | No — browser-based |
| Version updates & patching | Manual | Automatic |
| Security | ||
| ISO 27001 certified | ✓ | ✓ |
| SOC 2 Type II certified data centers | ✓ | ✓ |
| IRS-authorized platform | ✓ | ✓ |
Both paths are fully supported. If you'd like to explore the Cloud platform before committing, you can try it free for 7 days. If you're staying on Desktop, watch for your renewal communication with IRIS support details.
Desktop is locally installed software that files through the Sovos Service Bureau. Cloud is a browser-based platform with IRIS compliance, TIN matching, error correction, and recipient delivery built directly into the workflow — no local install, no Service Bureau step for federal filing, and automatic updates.
1099 Pro Cloud supports all major 1099 forms (including NEC, MISC, K, INT, DIV, and more), W-2, 1042-S/1042, and other information returns.
Yes. You can manage multiple filers and EINs within a single subscription. If you need strict data separation between entities, you can use separate subscriptions — one administrator can manage multiple subscriptions.
1099 Pro Cloud includes unlimited users at no additional per-seat cost.
Combined Federal/State Filing (CF/SF) is included with all subscriptions. Direct state reporting for 1099-NEC and W-2 is available as an add-on.
You can export your historical data from the desktop software (including 1220 format exports) and import it into 1099 Pro Cloud. We're developing additional tools and guides specifically for desktop-to-cloud data migration.
Yes, Sovos offers additional storage beyond the standard 3 years. Reach out to our team below for more details.
Yes, Sovos does have solutions that support W-9 and CP2100 (B-Notice) tracking. Please reach out to our team below for more details.
For online self-service signup, 1099 Pro Cloud accepts credit card or ACH, which enables immediate access and the 7-day free trial. If your organization requires invoicing, purchase orders, or a different payment arrangement, contact our team below and we'll work with you on the right setup.
Forms don't roll over or refund, but if your volume changes, you can adjust your subscription at any time. If you exceed your plan, overages are simply billed — no interruptions to your filing.
You can scale up at any time. Overages are billed without interruption to your service — your filing won't be blocked.
Subscription details and renewal terms are outlined during signup. Contact support for specific questions about your subscription.
Sovos maintains comprehensive security documentation including SOC reports. Contact your account representative or reach out to our team below for the Sovos Trust Center and security overview, or to complete your organization's security questionnaire.
No. Sovos handles the IRS transmission — you don't need your own Transmitter Control Code.
Whether you're staying on 1099 Pro Desktop with the Service Bureau or moving to 1099 Pro Cloud, there are a few things every customer should do to be prepared for IRIS filing. This section walks through purchasing your solution, preparing your data, and getting set up on whichever path you choose.
Continue with your current workflow. IRIS support is included when you renew.
Renewal details will be shared via email before the 2026 tax year. If you have questions about your renewal, contact your account representative or reach out to our team below.
Move to the cloud platform with IRIS compliance built in.
Ask about the one-time desktop-to-cloud transition incentive. If your organization requires invoicing or an alternative payment arrangement, contact us below.
Regardless of which product you use, IRIS has stricter data requirements than FIRE. Taking time now to review and clean your data will save you significant headaches at filing time.
IRIS will reject data that FIRE would have accepted. The steps below are important for every filer.
IRIS requires separate first name, last name, and business name fields. If your recipient data uses combined name fields (e.g., "John Smith" in a single field), you'll need to split them. This is the most common data issue and the one most likely to cause rejections.
IRIS validates Name/TIN combinations in real time at submission. Mismatches can result in penalties of up to $340 per return. Running a TIN match against your recipient database now gives you time to correct issues before filing season.
Desktop customers: Bulk TIN matching is available through the Service Bureau via file submission.
Cloud customers: Real-time and bulk TIN matching are included in your subscription and run directly in the platform.
Beyond name fields and TINs, take this opportunity to review addresses, entity types, and form amounts. If you historically have high B-Notice rates or correction volumes, early cleanup reduces your risk with IRIS's real-time validation.
If you've filed returns through FIRE in previous years, keep that data. The IRS is still finalizing how corrections to FIRE-originated returns will work through IRIS. You'll need the original filing data when that process is published.
Once you've purchased your solution and prepped your data, here's what the getting-started experience looks like for each product.
Your updated 1099 Pro Desktop version will include the tools and workflows needed for IRIS filing through the Service Bureau. Install the update when it becomes available and ensure all users in your organization are running the same version.
Enter your Tax Year 2026 data in 1099 Pro Desktop as you normally would. When you're ready to file, export your data for the Service Bureau. We'll share detailed instructions on any changes to the export process before renewal season.
Upload your data to the Sovos Service Bureau. Sovos handles the XML format conversion and transmits to the IRS via IRIS using our established TCC. No TCC application or IRIS credentialing is needed on your end.
Corrections processing, print & mail, eDelivery, bulk TIN matching, and 1099-NEC direct state reporting are all available through the Service Bureau as additional services. Contact your account representative or reach out to our team below for pricing and setup.
Once you've signed up (either online or through our team), you'll get immediate access to the platform. Check your inbox for your welcome email. If you don't see it, check spam or use "Forgot Password" to access the portal directly.
Bring your filer, recipient, and form data into 1099 Pro Cloud:
CSV / Excel upload — The most common path for desktop customers migrating data.
IRS 1220 format import — If you have existing 1220 files from your desktop software, you can upload them directly. The system maps the data for you.
Manual entry — Add payers, recipients, and forms directly if you prefer to start fresh.
Run TIN matching (included in your subscription), review any errors the platform surfaces, and file directly to the IRS through IRIS from within the platform. CF/SF state filing is included. Print & mail, eDelivery, and corrections processing are all managed in-platform.
| Deadline | What's due |
|---|---|
| January 31, 2027 | Recipient copies due for all forms. IRS filing deadline for 1099-NEC. |
| February 28, 2027 | IRS paper filing deadline for all other 1099s (if applicable). |
| March 31, 2027 | IRS electronic filing deadline for all other 1099s. This is the deadline that applies to most 1099 Pro customers. |
As long as your forms are approved and submitted by the relevant cutoff, Sovos handles the filing to meet IRS deadlines — whether you're filing through the Service Bureau or through 1099 Pro Cloud.
Renewal communications will be sent before the 2026 tax year with pricing and instructions. If you have questions now, reach out to your account representative.
Online self-service signup accepts credit card or ACH for immediate access and the 7-day free trial. If your organization requires invoicing, purchase orders, or a different payment arrangement, contact our team below and we'll work with you.
We're offering a one-time transition incentive for desktop customers evaluating the move to Cloud. Contact us below to learn more.
Yes. You can explore the self-guided demo with no account needed, or sign up for a 7-day free trial to test with your own data.
If your recipient records have a single "Name" field containing both first and last name (e.g., "Jane Doe"), those need to be split into separate First Name and Last Name fields for IRIS. If you already store names in separate fields, you're in good shape. Business names should also be in their own dedicated field.
Desktop customers can submit a bulk TIN matching file through the Service Bureau. Contact your account representative or reach out to our team below for pricing and the file submission process.
1099 Pro Cloud includes both real-time and bulk TIN matching in your subscription. Real-time matching verifies individual records on the spot. Bulk matching processes your full dataset with results typically returned in 24 to 36 hours. You can run matching during import or on demand at any time.
You can export your data from the desktop software in IRS 1220 format or as delimited text files (CSV). 1099 Pro Cloud can import both formats directly. Export each tax year separately. We're developing additional tools and guides to make this migration easier.
January 31, 2027: Recipient copies due and IRS filing deadline for 1099-NEC. February 28, 2027: IRS paper filing deadline for other 1099s. March 31, 2027: IRS electronic filing deadline for other 1099s. Both Desktop/Service Bureau and Cloud customers are covered by the same deadlines.
Contact our support team below as early as possible. For Cloud, the 7-day trial gives you immediate access to start importing and preparing data. For Desktop, your account representative can help prioritize your Service Bureau submission.
Yes. Print & mail and eDelivery (electronic recipient copies) are available on both Desktop via the Service Bureau and in 1099 Pro Cloud. On Desktop, these are additional Service Bureau charges. On Cloud, print & mail is included and eDelivery is available as an add-on.
Whether you're renewing Desktop or getting started on Cloud, our team can help with data preparation, migration, and filing questions. Reach out at [support email] or [support phone].
