What Is the Purpose of IRS Form 1096?
Understand Form 1096, the IRS summary transmittal that consolidates totals from paper-filed information returns like 1099s before submission.
Form 1096, the “Annual Summary and Transmittal of U.S. Information Returns,” is a cover sheet for businesses that file certain tax documents by mail. It summarizes the information from a batch of accompanying returns, allowing the Internal Revenue Service (IRS) to process the totals from multiple forms submitted in one package.
Its use is exclusively for paper filers. IRS regulations require businesses that file 10 or more information returns in aggregate to file electronically. Consequently, Form 1096 can only be used by businesses submitting a total of nine or fewer paper returns, as electronic filing systems have their own transmittal processes.
Associated Information Returns
Several information returns must be accompanied by Form 1096 when filed on paper. These include:
- The Form 1099 series, such as 1099-NEC, 1099-MISC, 1099-DIV, and 1099-INT
- Form 1098, Mortgage Interest Statement
- Form W-2G, Certain Gambling Winnings
A separate Form 1096 must be prepared for each distinct type of information return being filed. For instance, if a business files five Form 1099-NECs and two Form 1099-INTs, it cannot group them under a single Form 1096. One Form 1096 must summarize the 1099-NECs, and a second, separate Form 1096 must summarize the 1099-INTs.
Information Required to Complete Form 1096
The top portion of the form asks for the filer’s identifying details, including the business name, mailing address, and contact information. Filers must also enter their Employer Identification Number (EIN) or Social Security Number in Box 1 or 2. This information should match the accompanying returns for accurate processing.
The central part of the form contains boxes for summary data. Box 3 requires the total number of individual forms being sent with that Form 1096. Box 5 requires the total amount of payments reported on the accompanying forms, which is a sum detailed in the Form 1096 instructions.
The IRS requires filers to use the official, scannable version of Form 1096, which is printed in special red ink. A photocopy or a version downloaded from the IRS website is not acceptable. Businesses can order official copies of Form 1096 and related returns directly from the IRS’s website.
Filing and Submission Process
Filing deadlines for Form 1096 vary depending on the type of information return being submitted. When filing Form 1099-NEC, both the 1099s and the accompanying Form 1096 must be sent to the IRS by January 31. For most other information returns, including Form 1099-MISC, 1099-INT, and 1099-DIV, the paper filing deadline is February 28.
When preparing the submission for mailing, the completed Form 1096 must be placed on top of the stack of the corresponding information returns. This entire package is then mailed to the IRS. Do not send copies of the information returns to state tax agencies with this federal filing unless specifically required.
The correct mailing address for the submission depends on the filer’s principal business location. The IRS provides a list of mailing addresses for different regions in the official instructions for Form 1096. Businesses must consult these instructions to find the correct service center for their state.