| It's been another exciting year! As you shift gears into tax season, we're finalizing 2022 IRS/SSA changes in the best software products we've ever offered. Big changes are happening this tax season and Sovos 1099 Pro wants you to be in the know. Tax Form Changes 1099 Pro software products for 2022 are available now and include updated tax forms, instructions, and business rule validations. 1099 Pro has summarized these updates for you. Select any of the below Compliance Update links to view our WIKI for a complete description of the IRS/SSA changes. Download 2022 Sample Import Files for all form types. And make sure to review important changes to eFile thresholds, NEC state filing, and more.
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Form 1099-NEC
New For Tax Year 2022: The Service Bureau offers 1099-NEC state direct reporting and CF/SF Program submissions for select states! Visit NEC State Reporting Details to view supported states, terms, and important deadlines. There are still more than 25 states and the District of Columbia that require some form of direct state filing. To ensure compliance with state obligations, 1099 Pro Service Bureau customers not planning to manage state filing on their own must purchase the additional 1099-NEC state filing service to complete direct state filing obligations.
1099-NEC Quick Facts
State Direct Filing:
- Provides reporting data directly to states; oftentimes faster than CF/SF.
- Any state may require state direct filing—including ones that participate in CF/SF.
- Corporate Suite and 1099 Pro Enterprise software support the creation of state direct files per Pub. 1220 specifications.
- As states release their Tax Year 2022 filing requirements, 1099 Pro will update its Service Bureau - NEC State Reporting Details wiki page.
- For states that accept 1099-NEC through the CF/SF program, 1099 Pro Service Bureau will process these with your federal return orders free of charge.
- For other states that require direct reporting, customers should consider our add-on 1099-NEC Direct State Reporting service. For details on this service and supported states, visit Service Bureau - NEC State Reporting Details.
1099 Pro 2022 software supports 1099-NEC & 1099-MISC forms plus most 1098 / 1099 / 392X / 5498 / W-2G informational returns.
Service Bureau Updates
NEW Service Bureau Scheduling
Service Bureau customers should purchase software, then submit an online Scheduling Request! Service Bureau Scheduling Requests eliminate the need to call in and request an upload appointment. After submitting a request, customers are provided our Upload Windows (rather than a fixed Upload Date). Upload Windows allow customers greater flexibility in submitting their data—you may submit ANYTIME within the Upload Window.
"Upload Windows" are the timespan that customers may submit their upload(s) for guaranteed processing by the respective IRS/SSA deadline. Customers who submit uploads outside of our Upload Window will have their files processed as quickly as possible. The Service Bureau does not guarantee turnaround for uploads received outside of our Upload Window. Rush processing is not available.
A signed contract and paid deposit are required for Print customers submitting 2,000 or more forms. Service Bureau personnel will initiate contracts within 3 to 5 days of receiving Scheduling Requests. Customers should only submit one Scheduling Request per Tax Year, per Software Authorization Code.
Visit Service Bureau FAQs to learn about Upload Windows, how to submit uploads, links to video tutorials and more.
Service Bureau Rates
Effective Fall 2022, the Service Bureau full-service rate for print, mail and eFile is $1.50 per form. This year’s increase reflects significant increases in our postage, labor, paper and machinery costs.
Sovos 1099 Pro's competitive Print, Mail and eFile rates include:
- First-Class metered postage (for domestic and international mail)
- Secure print environment
- Recipient TIN masking
- Mail Tracking Technology
- Guaranteed delivery to the USPS by the IRS/SSA mailing deadline
- Optional 100-character standardized message on Recipient forms
- Volume discounts for bulk uploads
Reminder: Sovos 1099 Pro has made the decision to discontinue the sale of paper tax forms and envelopes. This decision was based on the permanent closure of our paper tax form product fulfillment center in April 2022, coupled with the changing IRS paper filing thresholds. Click here for more information.
Penalties
IRS penalties apply if you file after the deadline, file on paper instead of electronically, include incorrect information or report an incorrect TIN. Penalties range from $50 to $290 per return with an increased maximum of $3,532,500 per year ($1,177,500 for small businesses).
Technical Support
Now is a great time to contact 1099 Pro Technical Support! Our techs are happy to help you renew software and provide support. We encourage you to install software, review sample import files and do a test import now — prior to Busy Season — to avoid undue stress. As always, we will offer expanded January support for your last-minute questions.
Support Options
