What to Do If the IRS Rejects Your E-File

An e-file rejection from the Internal Revenue Service (IRS) signifies that your submitted tax return did not pass the initial automated validation checks. This means the IRS system identified specific issues preventing your return from being formally accepted for processing. While receiving a rejection notice can be concerning, these issues are often common and can typically be resolved.

Understanding Rejection Notices

When the IRS rejects an e-filed tax return, the notification is typically received through your tax preparation software or via an email from the software provider. The notice includes specific rejection codes and messages detailing the exact reason for the rejection. For instance, common rejection codes include IND-031-04 or IND-032-04, which generally indicate a mismatch with the Adjusted Gross Income (AGI) from a prior year. Another frequent code, R0000-901-01, often signals a discrepancy with the Employer Identification Number (EIN) and Name Control for business returns.

These codes serve as diagnostic tools, guiding you to the specific data field that caused the rejection. Other common rejection reasons include incorrect Social Security Numbers (SSNs) or names, situations where a duplicate return has been filed, or discrepancies in dependent information. Understanding these specific codes and messages is the first action needed to diagnose the problem and proceed with corrections.

Correcting Errors for Resubmission

Correcting errors identified in a rejection notice typically involves navigating back into your tax preparation software. The software guides you to the specific sections or fields requiring adjustment, based on the rejection codes and messages received. For example, if the rejection relates to an incorrect AGI, you would revisit the prior year’s AGI entry and ensure it precisely matches the IRS records from your originally filed return. If you did not file a return last year or if your prior year’s return was not fully processed, entering “0” for your AGI might resolve the issue.

Double-check all personal data, including names, SSNs, and birth dates, for accuracy, as these are frequent sources of rejection. For issues like an incorrect Employer Identification Number (EIN) or Name Control, verifying the information against official IRS records or determination letters is necessary. After making corrections, the changes must be saved within the tax software before attempting resubmission.

Resubmitting Your Corrected Return

After correcting all identified errors in your tax software, resubmit the return electronically. This process is usually initiated directly from the software, often through a clear “resubmit” or “e-file” option. The software re-transmits your corrected tax return to the IRS. After resubmission, monitor the status of your return within the tax software or through the IRS’s online tools.

You should anticipate receiving a new acceptance notification within a short timeframe, typically within 24 to 48 hours, confirming that the IRS has successfully received and accepted your return. If the return is rejected again, the process of reviewing the new rejection codes and making further corrections must be repeated.

Alternative Filing Methods and Deadlines

If electronic filing attempts continue to be unsuccessful, or if a rejection occurs close to the tax deadline, paper filing is an alternative. To paper file a rejected return, you must print all forms, sign them, and attach any required documents, such as W-2s or 1099s. For individual returns, the paper return should be postmarked by the later of the original due date (including extensions) or 5 calendar days after the IRS notified you of the rejection.

When mailing a paper return after an e-file rejection, include a copy of the rejection notification and a brief explanation of the corrective actions taken. For business returns, a 10-day perfection period applies for electronic re-transmission, and if paper filing, it must be postmarked by the later of the due date or 10 calendar days after the rejection notification. Writing “REJECTED ELECTRONIC RETURN” and the date of the original rejection in red at the top of the first page of the paper return is advised. Meeting these deadlines avoids potential penalties for late filing.