Automatic Filing of 1099 Forms to the States

We recommend clicking YES. There is no extra cost. The IRS will automatically forward a copy of your 1099s to the "participating states" shown below. (This happens after we e-File your 1099s to the IRS). The state is determined based on the payee's address. The IRS will forward both original and corrected 1099 forms. This IRS program is called the "Combined Federal/State Filing Program" or  CFSF.

We recommend that you select YES to this option for the following reasons:
The following 34 states participate in the CFSF:  

Alabama, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, DC, Georgia, Hawaii, Idaho, Indiana, Iowa, Kansas, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, New Jersey, New Mexico, North Carolina, North Dakota, Ohio, South Carolina, Utah, Vermont, Virginia, Wisconsin.

Problems:

State law is continually changing. You should check the state's web site to be sure. We believe Illinois, Kentucky, New York, West Virginia, and Rhode Island, who are not participants, probably do not want copies of 1099-Miscellaneous forms, unless there is withholding in Box 4. Because state laws are changing, check states' web sites. For other of 1099 forms, such as 1099-R, most states may have additional requirements.

Oregon is a problem and does require, special, direct e-Filing if you have more than 10 forms. The Oregon web site is:   http://www.oregon.gov/DOR/BUS/Pages/iwire-income-wage-information-return-eservices.aspx

Massachusetts may require direct e-Filing if you have more that a certain number of forms. The Massachusetts web site is: http://www.mass.gov/dor/businesses/filing-and-reporting/form-1099-reporting.html

If you have payees in states states which require special, custom e-Filing, please call us for a quote, but keep in mind that custom/special state compliance/filing takes time, labor and special work and can be expensive. So, check the state's web site, especially, Oregon and Massachusetts, to see if you can send Copy 2 for the state (printed from WageFiling.com) to the state on paper.

State laws change each year, and some states have special filing requirements unique to that state. Another problem is conflicting rules: For example, The IRS says Massachusetts participates in the CF/SF, but their web site said you must also e-File to Massachusetts directly and file special Massachusetts forms, when over a certain number of forms. This is an obvious conflict.

In addition to the States, there may be certain cities, towns, districts, and taxing jurisdictions with income taxes that require 1099 reporting. These are NOT covered by WageFiling.com and we do not e-File to these jurisdictions. 

Please remember, that you the customer, are always responsible for compliance with all Federal, State, local or other laws and rules. This includes making sure your forms are delivered to the states when they are due, using the delivery method the states require (either electronic or paper). WageFiling.com and/or WageFiling, LLC, it's employees, owners, and assigns are never responsible for penalties, or other sanctions you may receive for failure to comply with any jurisdiction, whether Federal, State or Local, and there is no guarantee or promise that by clicking YES to the CFSF program you will be in compliance with some states.