Form 1099-K received in error

andyc
andyc Member Posts: 2 Newcomer
in Credits/Deductions

How can I handle the following situation. I received a Form 1099-K in error for transactions between friends. The IRS guidance is as follows:

“If taxpayers can't get a corrected Form 1099-K, report the information on Schedule 1 (Form 1040), Additional Income and Adjustments to Income PDF, as follows:

  • Part I – Line 8z – Other Income – Form 1099-K Received in Error.
  • Part II – Line 24z – Other Adjustments - Form 1099-K Received in Error.

The net effect of these two adjustments on adjusted gross income would be $0.”

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  • JMSSGV
    JMSSGV Member Posts: 152

    It seems like you answered your own question. What are you asking?

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  • andyc
    andyc Member Posts: 2 Newcomer

    Can this be done using the FreeTaxUSA platform for electronic filing? Or do I just need to download a blank schedule 1 form and manually fill it out?

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  • MatthewD
    MatthewD FreeTaxUSA Team Posts: 409

    Hi AndyC,

    Yes, this can be done in FreeTaxUSA. Under Business Income, select 1099-K and answer the questions carefully. There is a different procedure for 2024 and the IRS doesn't use Line 8z and 24z anymore. There is a new section at the top of Schedule 1 for 2024.

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