Rejected return for the wrong federal identification number but that's what's on my 1099-R

[jettyjock]

What should I do

[dmertz · Accepted solution]

The IRS cross-checks the federal identification number against the payer's name on the Form 1099-R. Make sure that the payer's name is entered correctly on TurboTax's form.  Sometimes there is a two-line name and the two lines need to be interchanged.  If editing the payer name does not resolve the problem, you'll need to print and mail your tax return with Copy B of the Form 1099-R attached.

[honketyhank]

I had the same problem. I was rejected three times even after checking and double checking the name, spelling, payer's ID, etc. Then I deleted all the 1099-R's I had hand entered and downloaded all of them directly from the financial institutions. On doing that I noticed that one 1099-R had a different address for the payer on what was downloaded compared to the paper 1099-R I had hand entered. That was the only difference I could find. I then re-efiled and IRS accepted it immediately.

The payer 1099-R that was different was for a Fidelity IRA account.

Lesson learned: download stuff instead of hand entering it whenever possible.

[dmertz]

Apparently the IRS has increased their scrutiny of the payer details.  Note that Forms 1099-R are only included in your e-filing if they show tax withholding.  Forms 1099-R with a blank box 4 or a zero in box 4 will not cause this problem.

[Retired-MSgt]

I find myself in the same predicament however I cannot find any difference except where I abbreviated DR for Drive in my address. That would be an asinine reason to reject an otherwise properly prepared return. I guess if it gets rejected again I shall attempt the direct download but if Fidelity reported something to the IRS different than what they provided me, why the heck should I be required to discover it and correct it? Just thinking out loud.

[fkelly12054]

This is an "old thread" but I am still having similar problems in 2022.  I'm in the middle of snail mailing my Federal and Local (NY) returns because, after at least a dozen tries I am unable to get the Feds to accept my return.  Something about EIN number being wrong or Payer name wrong or "something else" wrong ... unspecified.  

Turbo Tax points you to the w2 as the source of the wrong EIN or payer name but it can also be a 1099R.  I believe there are other potential sources of the problem as well ... for instance a Dividend form generates a payer name and EIN that you will never even see but causes rejection by IRS.  Neither IRS nor Turbo Tax is of much use to the user in diagnosing and fixing this.  (And yes I deleted my original 1099R forms and re-entered them carefully.)  The problem is exacerbated by the State attempting to require electronic filing ... but then it won't accept an electronic filing if the IRS hasn't already accepted your filing ... which it won't if it thinks a EIN or payer name is wrong.  And of course there is no way to generate a corrected 1099 from the State payroll or Deferred Compensation plan.