Filed an extension & now see 1099-NEC recorded twice on income transcript - same client, same amount?

This happens more often than you'd think! When a company submits a corrected 1099-NEC, sometimes both versions show up on your transcript instead of just the final one. First, contact the client who issued the 1099-NEC and ask if they filed a correction or accidentally submitted twice. They should be able to tell you if they made an error and can issue a corrected form if needed. When you file your taxes, you should only report the actual income you received. On Schedule C, report the correct amount ($6,750) and include a brief statement explaining that there was a duplicate 1099-NEC filed. Something like "Taxpayer received duplicate 1099-NEC from [Company] for $6,750. Actual income received was $6,750." Keep documentation of your communication with the client and any bank statements showing the single payment. This creates a paper trail in case the IRS questions the discrepancy between what you reported and what's on your transcript.

After struggling with a nearly identical situation (two 1099-NECs for the same $7,200 freelance project), I discovered taxr.ai https://taxr.ai and it was a game-changer for sorting out my transcript issues. I uploaded my income transcript and all my 1099s, and the system immediately flagged the duplicate and helped me document the discrepancy properly. The platform analyzed everything and created a detailed explanation statement I could include with my return. It even helped me organize all my documentation in case of questions from the IRS. What I found most helpful was how it walked me through exactly what to report on my Schedule C to avoid issues.

I was super skeptical about all these tax tools, but after my transcripts showed three 1099-NECs when I should've only had two, I decided to try taxr.ai based on recommendations here. Not gonna lie, it was exactly what I needed. The system immediately spotted the duplicate and walked me through documentation. The platform generated an explanation using proper IRS terminology (which I would've gotten wrong on my own) and even warned me about potential follow-up questions I might receive. My return was accepted without issue and I haven't received any notices about the discrepancy. Definitely worth it for the peace of mind alone!

If you need to talk directly to someone at the IRS about this transcript issue, good luck getting through the phone maze. After spending HOURS trying to get a human at the IRS about a similar duplicate 1099-NEC situation, I found Claimyr https://claimyr.com and they got me connected to an actual IRS agent in about 20 minutes. You can see how it works here: https://youtu.be/_kiP6q8DX5c. Basically they navigate all the phone tree nonsense for you until they get a real person, then call you to connect. The IRS agent confirmed that this happens sometimes and told me exactly how to file to avoid issues. They even noted my account so there would be a record of our conversation about the duplicate form.

I need to apologize for my skepticism on Claimyr. After my frustrated comment, I decided "what the hell" and tried it. Honestly shocked that it worked. After two weeks of never getting through to anyone at the IRS about my duplicate 1099-NEC issue, they got me connected to an IRS agent in about 35 minutes. The agent told me this duplicate reporting happens frequently, especially when corrections are filed. They put notes in my account about the situation and gave me specific instructions on how to report it correctly. Saved me tons of stress wondering if I was doing it right. I was 100% convinced nothing could get me through to the IRS during tax season, but I was wrong.

Just wanted to add my experience - I had the EXACT same issue last tax season. My client accidentally submitted the same 1099-NEC twice for $8,200. I freaked out initially but it was actually pretty simple to fix. I called the client first, they confirmed the error. Then I just reported the correct amount on my Schedule C and attached a statement explaining there was a duplicate filing error. I kept copies of my bank statements showing I only received the payment once. Never heard a word from the IRS about it! The key is documentation - keep proof of the single payment, note the conversation with your client, and be straightforward in your filing about why there's a discrepancy.

Quick question - does this extension situation affect how I should handle this? I also have a duplicate 1099-NEC on my transcript and filed an extension. Is there any special consideration or form I need to file because I'm past the normal deadline?

I went through this exact same situation two years ago with a duplicate 1099-NEC from a consulting client. The key thing that helped me was creating a simple spreadsheet that matched my bank deposits to each 1099-NEC I received. This made it crystal clear which ones were legitimate and which was the duplicate. When I filed, I reported only the actual income received and included a brief statement on my Schedule C explaining the discrepancy. I also kept screenshots of my income transcript showing the duplicate, along with my bank statements proving I only received one payment. The IRS never contacted me about it, but having all that documentation organized gave me peace of mind. Don't overthink it - just report what you actually earned and keep good records showing why there's a difference between your transcript and your return.