Understand. Hopefully they will correct it as that makes it more smooth at the IRS end. If, however, they will not make the correction, you can file it correctly on your tax return. You don't pay taxes on income that is not taxable to you.
The forms 1099 are informational returns filed to the IRS by the issuer with a copy to you. As long as the income is reported on your tax return the IRS will be able to reconcile it with the 1099-Misc they received. You will file as though the income was reported on a 1099-S as I outlined in my earlier post in the "Investments " section as a sale of asset. Use the "Second home, land, other" category.
I don't know what the other $106 was for, but unless it was actually income earned after the date of death, then it is inherited and not taxable either. You might ask that question if you don't already know.
Ultimately, for that amount you could enter only that small amount as a taxable 1099-Misc box 3 income which will be listed on your tax return as other income. That along with the 1099-S amount can then be reconciled with the whole reported 1099-Misc amount by the IRS.
Keep notes of what happened with your tax records should it ever come up. You'll be good.
@WhoDatFan
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