I have had 2 vendors call concerning corrections to their 2008 1099MISC. The vendor was set up according to the W9's we had on record, the vendors cashed the "incorrect" payments, even though the payee name was supposedly wrong, and the vendor did not get back to us about corrections until now (2010), because they are being audited by the IRS and want us to "correct" our 1099MISC. What is the obligations in correcting these? Just because the vendor says the name should be something else, the payments were cashed as written. Do I need to verify the payee name change and if so, how do I verify that the payee name corrections are legitimate?

We have an account where the client signed a W9 form and indicated they are a US citizen, based upon the W9 we the client signed 12/09/04, we reported the client's income for 2005 on a form 1099B and 1099DIV. Recently the client received notice from the IRS that they are required to pay taxes on this income. The client has requested a corrected 1099 form from us showing no income since they now claim they were not a US citizen during the 2005 Tax Year and they paid income taxes to the United Kingdom for 2005. We are planning not to issue a correction since the client signed a W9 and we are planning to tell the client that they need to work this out with the IRS. Do you agree with our stance, can you offer any guidance as to what the IRS may suggest,either we, or our former client, should do in this type of situation?

I was notified that we did not include a TIN for one of our vendors, however, it was our mistake. Do we need to refile this with the IRS and if so what steps should I take?

What is your recommendation when it comes to making a TIN change on a 1099 form that has an amount in Box4, backup withholding? I am leary to do this as is it is possible the TIN the 1099 was reported to has already claimed the income/BWH on their tax return as a credit, and if we now make a TIN correction a 2nd party could potentially claim that same BWH amount on their Tax return. I realize that by correcting the original 1099 that we will be informing the IRS of the reduction on Box 4 amounts from the original TIN, but I am still hesitant. What is your experience with this? Does the IRS frown on making TIN changes to forms that have BWH?

We have discovered some errors in the receipients 1099 misc we mailed to clients earlier this year. We are in the process of going through and making corrections for these. My question is, is there any liability exposure for us, especially in the situation where the individual has already filed their return?

A check issued in 2001 and a 1099 R issued for tax year 2001. The check never cashed and replaced in 2008. Do we need to correct the 20011099-R and issue a 2008 1099R ? Will the 3-yr rule apply? Does constructive receipt apply in 2001and no need to issue another 1099, regardless of when a replacement check is given?

We need to send a "corrected" 1099-DIV to an employee. We have not as yet transmitted our file to the IRS and when we do the correct information will be transmitted.

Do we mark the employee's form as corrected? I know we don't need to do anything different with the IRS because the Original file we will be sending the IRS this month will be correct.

We set up a vendor, per original contract as "Smith John and Jane" (married) (EIN) but in August 2008 he died and the vendor was changed to Jane Smith (SS). Now she wants all the payments made to them to consolidate into her own/personal 1099. Are there any legal issues on doing this consolidation, even though the payments were not made to her, but to the company they had founded before? Please reply ASAP.

After sending the 1099-misc forms at the end of January, we have updated reporting names and / or TIN numbers for some of the vendors. Do we need to send new 1099 forms to these vendors with a checkmark on "Corrected" since we did not file with the IRS yet? Is there a way we can mark "Revised" on the forms? Thank you.

If my company has missed issueing a 1099 to an individual for a previous tax year (2007) and did not report the earning to the IRS either. But now we are trying to correct the issue what needs to be filed to the IRS besides the copy of the 1099?