At a Glance
Why This Obligation Exists
SECURE 2.0 lets retirement plan participants take penalty-free distributions to pay certified long-term care premiums, up to an annual limit. That created a matching problem for the IRS: distributions claimed on one side, premiums actually paid on the other. The 1099-LPS closes the loop from the insurer's side, reporting what was actually received for coverage and for whom.
The Data Each Form Needs
| Data Element | Where It Usually Lives | Watch Out For |
|---|---|---|
| Premiums received (box 1) | Billing / premium accounting | Received during the calendar year, not billed; allocate per insured on multi-life coverage |
| Premium payer identity and TIN | Policyholder master record | The payer of record may differ from the insured (spouse pays, adult child pays through a payer arrangement) |
| Insured identity and TIN | Underwriting / policy record | Always an individual. The insured's TIN is a filing field, and many policy systems never captured it for the non-payer spouse |
| Self or Spouse indicator (box 2) | Derived: compare payer and insured | Exactly one must be set; the IRS rejects forms with both or neither |
The Two Traps in the Data
1. The insured's TIN
This is the field most likely to be missing. When a policyholder pays premiums on a spouse's policy, the spouse's SSN may have never been collected or may live only in underwriting archives. Both TINs on the form go through IRS matching, so a collection and verification pass on the insured population belongs at the top of the project plan. Our explainer on who the insured is on Form 1099-LPS covers the roles in detail.
2. Premium allocation
For coverage on more than one individual, the form reports only the portion of the premium properly allocable to that insured. Joint or shared-care policies need an allocation rule applied consistently, and the allocated amounts, not the policy total, flow to each form.
The Filing Path Is New Too
Most carriers' information return pipelines were built for the FIRE system and Publication 1220 flat files, usually for the 1099-LTC. The 1099-LPS has no FIRE format at all: it is IRIS XML only. Practically, that means either standing up IRIS filing in-house (TCC application, schema validation, testing) or using a provider that already files IRIS XML. BoomTax does the latter: import premium data, validate both TINs per form, and we generate the XML, e-file, and deliver recipient statements. See e-file Form 1099-LPS online.
IRIS Portal
Free manual entry of Form 1099-LPS in the IRS portal. Best for a handful of returns.
High manual effortBuild XML In-House
A brand-new schema, your own TCC, and IRS testing windows. Months of development.
High dev costSeason Checklist
- Now: identify the reportable premium population for calendar year 2026; start collecting missing insured TINs
- Fall 2026: define the premium allocation rule for multi-life coverage; run TIN verification
- January 2027: produce recipient statements (due at the start of February; exact dates on the due date page)
- By March 31, 2027: e-file with the IRS through IRIS
Related reading: the 1099-LPS is one of three information returns debuting for tax year 2026, all IRIS-only. Our overview of the new IRS information returns for 2026 covers the full set.
Frequently Asked Questions About the 1099-LPS Obligation
Issuers of certified long-term care insurance. Starting with tax year 2026, they report the premiums received during the calendar year on the Form 1099-LPS, identifying both the premium payer and the insured.
Two per form: the premium payer's TIN and the insured's TIN. Both go through IRS matching, and the insured's TIN is the field most likely to be missing, especially for a non-payer spouse. Our explainer on who the insured is on Form 1099-LPS covers the roles.
Recipient statements are due at the start of February 2027, and the IRS e-filing is due March 31, 2027. Exact dates are on the due date page.
No. The 1099-LPS has no FIRE format at all: it is IRIS XML only. That means standing up IRIS filing in-house (TCC application, schema validation, testing) or using a provider that already files IRIS XML: see e-file Form 1099-LPS online.
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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.