The deadline for employers and payers to issue W-2s and 1099s is January 31st. For most taxpayers, it’s a signal to start preparing their return—but what happens when those forms sent contain errors? Waiting for the IRS to flag a mistake can lead to delays, penalties, and unnecessary stress. The good news? You can take action now to correct issues before they become problems.
Why Errors Trigger IRS Attention
The IRS uses your W-2 and 1099 forms to match reported income with your tax return. When numbers don’t line up, or personal details are wrong, the system flags your return for review. Even small discrepancies—like a missing digit in your Social Security number—can cause processing delays or generate a notice. Acting quickly is the best way to keep your filing on track.
Common Mistakes to Watch For
Before you file, review your forms carefully. Here are the errors most likely to cause trouble:
- Incorrect Social Security Numbers or Taxpayer IDs
A single typo can prevent the IRS from matching your income to your account. Double-check every digit. - Wrong Income Amounts
Compare the amounts on your W-2 or 1099 to your pay stubs or statements. Over- or under-reporting income can lead to IRS inquiries. - Misclassified Payments
Were you treated as an employee when you were actually a contractor—or vice versa? Misclassification affects both taxes and deductions. - Missing or Incorrect State Information
If you worked in multiple states, make sure state wages and taxes are reported accurately. Errors here can complicate state filings. - Duplicate or Missing Forms
Receiving two forms for the same income or not receiving one at all can throw off your return. Confirm you have everything you need.
How to Fix Them Fast
If you spot an error, don’t wait. Contact the issuer immediately and request a corrected form—called a W-2c for employees or an amended 1099 for contractors. Keep copies of all correspondence and corrected forms for your records. Once you have the right information, file your return promptly to avoid delays.
Bottom Line
Mistakes happen, but quick action can prevent IRS headaches. Review your forms now, correct any errors, and file with confidence.
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