E-File was rejected because of "duplicate" 1099-R forms.

[Sooz]

My software (loaded from CD) is current with regards to updates. The "duplicate" 1009-R forms are NOT duplicates, but two of the six used (all from the same payer FEIN) do have the same distribution amount and tax withheld. However, each of the six has a unique Line 2 of the Payer's Name, and the Account number in Box 12 for each is unique. Prior years' e-filings have had this same situation and e-file has never failed before. Is this an issue on the IRS end of things, or a bug in the TurboTax file submitted to  them?  Obviously the internal identifier for each doesn't include all the unique identifiers for each of the six forms, but I can't tell from here if it's on the submitting end, or the receiving end of the e-file process.

I did attempt re-e-filing without making any changes, but it's too soon to tell if it will reject again. If it does, can I simply update the distribution amount for one of them to add a penny (currently shows zero cents) to force uniqueness without affecting the actual distribution amount after rounding?

[macuser_22]

What is the reject code?

[Sooz]

There was no reason code provided. 

[macuser_22]

Then what makes you think it was rejected?

[rupj78]

Following...

Having the same problem this year - rejected for 'duplicate' 1099-R, though it is 2 unique forms with the same amount (and with different SSN for each form)!

[Sooz]

Because the email I got from TurboTax said it was rejected. When I re-launched the TurboTax software, it guided me through what happened - that is where it said there was a duplicate 1099-R but gave no reason code. I know what the issue is (failure of either TurboTax to uniquely identify the forms during submission, or failure of the IRS to properly define their file layout to be able to distinguish uniqueness upon receipt).

[tomkiley]

I'm having the same issue.  There's no rejection code in either the email or the instructions to come up upon relaunching TurboTax. 

Looking at the forms view 1099-R's and they are all different.  There are no true duplicates.

Is this a failure of TurboTax to transmit the forms correctly or of the IRS to process them correctly?  How do we see our return exactly as transmitted to the IRS to verify that TurboTax is transmitting the information as entered?

[Sooz]

Bingo!!  I have reached out to their customer service via Twitter, and have started a conversation with someone to try and figure this out.  (I'm a former programmer who used to develop & troubleshoot interface files for a commercial payroll system and various 3rd party vendors...based on what I know it does look like a failure to properly uniquely identify multiple 1099-R forms in the transmitted file, OR failure on the receiving end to recognize that the forms are indeed different).

[rupj78]

Glad that someone with your background is having the problem!

Curious to know if the one penny approach outlined in your original post is a recommended fix (or if someone - TurboTax or IRS - will dig in to resolve)...

[Sooz]

I don't know if the one penny idea will work - I suspect it will (unless when they transmit the file, they round up/down and force whole dollar amounts).  I experimented with editing my form in the income section, and it does allow for the one penny (example shows 999.01 instead of 999.00).  HOWEVER it may raise a flag with the IRS and result in an audit later - they do match up the 1099-R forms we enter against the same data reported to them by the payer.  That one penny COULD cause a mismatch - but is it enough for them to trigger an audit??  Hard to say.  For the most part, the IRS deals with whole dollar amounts. (I called  the IRS help line but all they have is an automated menu to choose from, and speaking to a human is not an option)

[brett d]

I'm also having the same issue - rejected due to a 'duplicate 1099-R'.  I tried to resubmit with adding account numbers to the 3 1099-Rs that were from same Payer but different amounts, but I got another rejection today.  The other 2 1099-Rs are same payer, same amount, but 1 for me and 1 for my spouse.  

I was also thinking of adding a penny.

Please let us know what you find out / decide.  Thanks!

[rupj78]

Just got off the phone with TurboTax rep - they claimed the issue is on the receiving side for the IRS.

Recommended solution was to print out forms and mail, instead of e-filing....

[Sooz]

Not surprising that it’s on the receiving side...Turbo Tax could consider updating its Federal Review process to catch this situation and give a warning.

i know print & mail is an option, but I prefer e-file since I get my refund faster. And, I don’t trust the USPS even with tracking !!! 

[ngozman]

I would more trust IRS software. Turbotax too many bud this year. 

I bet there is something wrong with the file they build for IRS. I have two 1099-R, for myself and my wife from the same broker. And they have different amounts and and different social security. 

[Sooz]

I added a penny to one of the two “duplicates” and resubmitted. Just now got the auto-response that it was ACCEPTED! 

so now my fingers are crossed it doesn’t result in an audit later on. But, I bought “audit defense” just in case, haha!