What you need to know about e-Delivery
What is it?
The IRS allows businesses to provide recipients with an electronic version of form 1099 or W-2 in place of a paper copy. To meet IRS guidelines, the recipient must give the payer explicit permission to receive an electronic statement in place of a mailed statement. If the recipient consents, the statement must be posted on a website and made accessible to the recipient no later than January 31, and must remain accessible through October 15 of that year.
How does it work?
- You provide your recipient’s email address on the “Edit Recipient” page.
- When you file a form for that recipient, we send an email asking the recipient whether he or she would prefer to receive the statement electronically.
- If the recipient consents to e-delivery, we send another email with a link that allows the recipient to view, download and print the statement securely from our website. The recipient will not receive a paper statement.
- If the recipient does not consent by the deadline noted in the email, we mail the paper statement.
What do you need to do?
Easy! When adding a recipient, simply provide his or her email address (If you don’t have it handy, you can go back and add it later by clicking on “Edit Recipients” under the “Manage Payers & Recipients” section.) We take care of the rest.
- We ask the recipient for consent
- We provide electronic access via a secure link to anyone who does consent
- We keep the electronic statements accessible on our site through October 15
- We mail paper forms to all recipients who do not give consent
A few reasons: First, electronic statements are delivered to recipients more quickly than paper statements. As soon as they consent, they will have instant access to their electronic forms. Plus, they can access and print the form as many times as they need before October 15, which means lost forms don’t become your problem. And finally,you’ll be helping us in our effort to protect the environment by reducing paper usage.
All recipients will receive their statements either via mail or electronically. As long as the recipient has provided consent and we have made the recipients' statements available on our website by January 31, you have met the IRS requirements for timely delivery of the statement. All users who do not want e-delivery will receive paper statements.
The electronic filing requirements for recipient statements can be found in General Instructions for Certain Information Returns (Section M).