At a Glance
The IRS shut down the FIRE system on December 31, 2026. If you need to file 1099-NEC forms for 2026 tax year payments, you must now use IRIS. The 1099-NEC deadline is January 31, 2027 — one of the earliest in the 1099 family. If your systems still generate FIRE-format files, upload them to BoomTax as-is — we convert to IRIS XML and submit automatically. No reformatting required.
This article is part of our IRS IRIS Resource Center
— your complete guide to the FIRE→IRIS migration.
What Happened to FIRE?
If you tried to log in to the IRS FIRE system in January 2027 and found it gone, you are not alone. The IRS retired FIRE permanently at the end of 2026 after more than 30 years of service. Every information return that previously went through FIRE — including Form 1099-NEC — must now be filed through the Information Returns Intake System (IRIS).
This is not a temporary outage. FIRE is not coming back. The replacement is IRIS, and it works differently: XML-based submissions instead of fixed-width flat files, a new Transmitter Control Code (TCC) process, and a different portal interface. The good news is that the transition does not have to be painful — especially if you use a provider that handles the conversion for you.
1099-NEC Quick Facts for 2027 Filing
| Detail | 1099-NEC Specifics |
|---|---|
| What it reports | Nonemployee compensation (Box 1) — payments to independent contractors, freelancers, and other non-employees |
| Reporting threshold | $600 or more in payments during the calendar year |
| Federal e-file deadline | January 31, 2027 (no automatic extension available) |
| Recipient copy deadline | January 31, 2027 (same date as federal filing) |
| Filing system | IRS IRIS (FIRE is no longer available) |
| File format | IRIS XML schema (not Publication 1220 flat file) |
Important: The 1099-NEC has the tightest deadline of any 1099 form. Unlike the 1099-MISC, 1099-INT, or 1099-DIV (which have a March 31 e-filing deadline), the 1099-NEC must be filed by January 31 with no automatic extension. If you are reading this close to the deadline, act now.
Who Must File 1099-NEC?
You must file Form 1099-NEC if you paid $600 or more during the tax year to a person or entity that is not your employee for services performed in the course of your trade or business. Common scenarios include:
- Independent contractors and freelancers: Designers, developers, consultants, writers, and other non-employees who performed services for your business
- Professional service providers: Attorneys (for legal services, not settlements), accountants, and other professionals paid outside of employment
- Subcontractors: Individuals or unincorporated businesses performing work under a contract
- Commission payments: Nonemployee sales commissions, referral fees, and finder's fees
You generally do not file 1099-NEC for payments made to C-corporations or S-corporations, or for payments made via credit card or payment processor (those are reported on 1099-K). For more on who qualifies, see our 1099-NEC overview and 1099-NEC vs. 1099-MISC comparison.
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Step-by-Step: Filing 1099-NEC Through IRIS
Whether you are filing 10 forms or 10,000, here is how to get your 1099-NEC submissions through IRIS:
Step 1: Confirm Your IRIS Access
If you previously filed through FIRE, your old TCC does not carry over automatically. You need an IRIS Transmitter Control Code. If you use BoomTax, we file under our TCC on your behalf — you do not need to register separately.
Step 2: Gather Your Payee Data
For each 1099-NEC, you need the recipient's name, address, TIN (SSN or EIN), and the total nonemployee compensation paid in Box 1. If you withheld federal income tax (Box 4), include that amount as well. For state reporting, you will need the applicable state ID number and state tax withheld.
Step 3: Prepare Your Submission
IRIS accepts data in three ways:
- Manual entry through the IRIS Taxpayer Portal — feasible for a handful of forms but impractical at scale
- CSV upload through the portal — works for moderate volumes but requires IRIS-specific column formatting
- A2A API submission — XML payloads submitted programmatically, best for high volumes and automation
Step 4: Submit Before January 31
Unlike most other 1099 forms, the 1099-NEC has no automatic extension. The IRS filing deadline and the recipient copy deadline are both January 31. Late filings can result in penalties starting at $60 per form and increasing to $310 or more depending on how late the filing is.
Step 5: Monitor for Acceptance
After submission, IRIS validates your XML and returns acceptance or rejection status. If any forms are rejected, review the IRIS error codes, correct the data, and resubmit before the deadline. BoomTax monitors submission status automatically and alerts you to any rejections.
Already Have FIRE-Format Files?
Many payroll systems, accounting platforms, and in-house tools still generate 1099-NEC data in the Publication 1220 fixed-width format that FIRE required. You do not need to rebuild those systems for IRIS. BoomTax accepts your existing FIRE-format files and handles the rest:
- Upload your files as-is — no reformatting, no column mapping, no XML conversion on your end
- Automatic FIRE-to-IRIS conversion — BoomTax parses your flat file, maps every field to the IRIS XML schema, and validates before submission
- Batch submission — files containing thousands of 1099-NEC records are split into compliant IRIS batch sizes automatically
- State filing included — BoomTax handles state filing requirements alongside the federal submission
- Corrections workflow — need to fix a TIN or amount after filing? Submit corrections through IRIS using the same interface
Frequently Asked Questions
No. The IRS permanently shut down the FIRE system on December 31, 2026. All 1099-NEC filings for tax year 2026 and beyond must go through IRIS. There is no workaround, no extension of FIRE access, and no alternative legacy system. IRIS is the only electronic filing channel for information returns going forward.
Yes. The 1099-NEC is due to both the IRS and to recipients by January 31. Unlike the 1099-MISC and other information returns that have a March 31 electronic filing deadline, the 1099-NEC does not qualify for an automatic extension. You can request an extension by filing Form 8809, but approval is not guaranteed and requires demonstrating extraordinary circumstances.
If you file directly with the IRS, you need an IRIS-specific TCC. Your old FIRE TCC does not work with IRIS. The IRIS TCC application process is handled through the IRS e-Services portal. If you file through BoomTax, you do not need your own TCC — we submit under our TCC as your authorized transmitter.
Not directly. IRIS does not accept Publication 1220 fixed-width files. However, you can upload those files to BoomTax, and we convert them to IRIS XML automatically. Your existing data extraction process stays the same — BoomTax bridges the gap between your FIRE-format output and IRIS input requirements.
Penalties for late 1099-NEC filing depend on how late the filing is: $60 per form if filed within 30 days of the deadline, $120 if filed by August 1, and $310 if filed after August 1 or not at all. Intentional disregard can increase the penalty to $630 per form with no cap. Given the January 31 deadline, the penalty clock starts earlier for 1099-NEC than for most other information returns.
Yes. BoomTax handles state filing requirements for 1099-NEC alongside the federal IRIS submission. Many states participate in the Combined Federal/State Filing Program, which means a single submission covers both. For states that require direct filing, BoomTax submits to the state separately. State deadlines and requirements vary, so check our state guide for specifics.
Next Steps
Author
Ken Ham
Founder at BoomTax
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Passionate about making tax compliance simple so businesses can focus on what matters.
BoomTax and its affiliates do not provide tax, legal, or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal, or accounting advice. You should consult your own tax, legal, and accounting advisors prior to engaging in any transaction.
