IRIS Replacing FIRE for 1099 E-File
The IRS recently announced that the Filing Information Returns Electronically (FIRE) system used for e-filing 1099s is scheduled to be retired, and the target date for the retirement will be the 2027 filing season for tax year 2026 forms.
Currently there are two systems available to electronically file Forms 1099, the FIRE system and the Information Returns Intake System (IRIS) system. Once the FIRE system is retired, only the IRIS system will be available.
Businesses that file 10 or more Forms W2 and 1099 must electronically submit those forms, and practitioners who e-file Forms 1099 on behalf of clients have been able to use either the FIRE or IRIS systems to do so. Starting with tax year 2026, when the FIRE system is no longer available, practitioners who use the FIRE system will need to separately enroll to use the IRIS system.
Information about enrolling in the IRIS system is available from the IRS at https://www.irs.gov/pub/irs-pdf/p5903.pdf, and information about using the IRIS system is available at: https://www.irs.gov/pub/irs-pdf/p5717.pdf
Since practitioners who use the FIRE system can continue to do so for Forms 1099 for the 2025 tax year, they have time before they need to register for the IRIS system. Yet, it may be useful to register earlier if they want to experiment with the IRIS system during this upcoming filing season. If they try the IRIS system for a handful of clients and encounter difficulties, they will still be able to revert to using the FIRE system for one more season.
Are you registered for one of our upcoming seminars in December and January? If you are not already registered, register here so you’ll be fully prepared with what you need to know, including the major new federal tax law enacted on July 4th.