IRS reject code F1040-516-01 occurs when the Social Security Number (SSN) of the primary/secondary taxpayer or a dependent has already been claimed on another tax return. Consider the following to resolve this:
- Review your SSN for accuracy.
- If a dependent is filing their own return, make sure they checked the "someone is claiming me as a dependent" box. If not, you will need to either;
- Remove the dependent from your return and efile.
- Amend your dependent's return to check the box, and paper-file your return.
- Amend your dependent's return and wait until it's processed so you can efile and avoid paper filing.
- If someone else claimed a dependant that you're claiming on your return, you will need to either:
- Remove the dependent from your return and efile.
- Paper-file your return, but you will likely have delays in receiving a refund and may even need to provide proof of claiming the dependent.