IRIS Filing Guide for Small Businesses

What Are FIRE and IRIS? (The Short Version)

If you've been filing 1099 forms for years and never heard the terms "FIRE" or "IRIS," don't worry — that's normal. These are the names of the IRS's backend systems that process your electronic filings. Most small business owners never interact with them directly, especially if you use filing software or a tax professional.

Here's the simple version:

• FIRE (Filing Information Returns Electronically) is the old system. It's been running since the 1990s. It accepts data in an old-school format that looks like a giant wall of text with every character in a fixed position. Think of it like a fax machine — it works, but it's outdated technology.
• IRIS (Information Returns Intake System) is the new system. The IRS launched it in 2022. It accepts data in a modern format (XML), has a web portal where you can type in forms manually, and even lets you upload spreadsheets. Think of it like a modern online form — much more user-friendly.

The IRS is permanently shutting down FIRE on December 31, 2026. After that date, all electronic information return filing goes through IRIS. For a detailed comparison of the two systems, see IRIS vs FIRE: what's different.

Why This Matters for Small Businesses

If your business pays anyone $600 or more in a year for services — contractors, freelancers, consultants, your IT person, your graphic designer — you probably need to file a 1099-NEC. If you pay rent of $600 or more to a landlord who isn't a corporation, you may need a 1099-MISC. These are the most common 1099 forms for small businesses.

Here's the key question: do you e-file your 1099s?

• If you use software (like BoomTax, your accounting platform, or a payroll service) to file your 1099s electronically, that software has been talking to FIRE behind the scenes. Your software provider will handle the switch to IRIS — but it's worth confirming with them that they're ready.
• If you file paper 1099s by mail, the FIRE/IRIS change doesn't directly affect you. However, the IRS has lowered the e-file threshold — if you file 10 or more information returns (combining all types), you are now required to e-file.
• If your CPA handles it, they'll manage the transition. But it's still worth a quick conversation to make sure they're prepared. See our IRIS guide for CPAs.

The E-File Threshold: When You Must File Electronically

The IRS changed the e-file threshold starting with Tax Year 2023. Previously, you only needed to e-file if you submitted 250 or more forms. Now, the threshold is much lower:

Situation	Must You E-File?
You file fewer than 10 information returns total	No (but you can, and it's easier)
You file 10 or more information returns total	Yes, you must e-file

Important: The IRS counts all information returns together. If you file five 1099-NECs, three 1099-MISCs, and two W-2s, that's ten forms total — and you must e-file. Missing the e-file requirement can result in penalties of $310 per form or more.

Your Three Options for Filing Through IRIS

Once FIRE shuts down, here are the three ways to get your 1099s to the IRS through IRIS:

Option 1: IRS IRIS Taxpayer Portal (Free, Manual)

The IRS offers a free web portal where you can type in 1099 forms one at a time. It works like an online form — you fill in the payer information, the recipient's name and TIN, the payment amounts, and submit.

• Best for: Very small businesses filing a handful of 1099s
• Cost: Free
• Downsides: Manual data entry is slow and error-prone. No ability to import data from your accounting system. You'll need an IRS e-Services account and ID.me verification.

Option 2: IRIS CSV Upload (Free, Bulk)

IRIS accepts CSV (spreadsheet) file uploads. You download the IRS template, fill in your data in a spreadsheet format, and upload it. This is faster than manual entry if you have more than a few forms.

• Best for: Small to mid-size businesses comfortable with spreadsheets
• Cost: Free
• Downsides: You need to match the IRS template format exactly. Formatting errors can cause rejections. Still requires an IRS account.

Option 3: Use BoomTax (Easiest)

Filing through BoomTax is the simplest path. You enter your data (or upload it), and BoomTax handles everything else — XML conversion, IRIS submission, error resolution, and status tracking.

• Best for: Any business that wants to minimize hassle
• Cost: Per-form pricing (no subscription required)
• Advantages: No IRS account needed. No TCC application. No XML or CSV formatting. Built-in error checking. Corrections handling. Combined Federal/State Filing support. Keeps your filing history organized.

For a detailed comparison of direct IRS filing vs using a provider, see BoomTax vs IRIS direct filing.

Step-by-Step: The Simplest Path for Small Businesses

If you want the fastest, least painful way to handle this transition, here is the step-by-step:

1. Gather your 1099 data. For each contractor or payee, you need their legal name, address, TIN (SSN or EIN), and the total amount you paid them during the tax year.
2. Create a free BoomTax account. No credit card required to get started.
3. Enter your forms. Type them in one at a time through the web interface, upload a spreadsheet, or use the API if you're technically inclined.
4. Review and submit. BoomTax validates your data, flags any errors, and shows you exactly what will be filed before you submit.
5. BoomTax handles the rest. Your forms are converted to IRIS XML and submitted to the IRS. You get confirmation when they're accepted.

That's it. You don't need to understand XML, IRIS, TCCs, or any other IRS acronym. BoomTax handles the complexity. Check the 2027 filing deadlines to make sure you file on time.

What If You Already Use Accounting Software?

If you use QuickBooks, Xero, or another accounting platform, check whether your software supports IRIS filing. Some platforms will handle the transition automatically, while others may require you to export your data and file separately. If your software doesn't support IRIS yet, BoomTax can fill the gap — just export your 1099 data and upload it to BoomTax.

Frequently Asked Questions

Next Steps

• Create a free BoomTax account and start filing
• Learn about the FIRE shutdown deadline
• How to file 1099s electronically
• BoomTax vs filing directly through IRIS
• Have your CPA handle it? IRIS guide for CPAs
• 2027 IRIS filing deadlines calendar