How to setup a new FIRE account for filing information returns electronically?

You still have time to get this set up, but you should start ASAP! The process isn't as complicated as it seems once you break it down. First, yes, you personally will need to create an ID.me account. This is the authentication system the IRS uses now for many of their portals. As the company accountant, you can create this account and be the designated person to file these returns - the owners don't necessarily need their own ID.me accounts for this purpose. After creating your ID.me account, you'll use those credentials to access the IR Application for TCC. When filling out the application, you'll need your company's EIN and other business information. You'll be applying as a "Transmitter" most likely, which is an organization that submits information returns directly to the IRS. The TCC application review usually takes about 45 days, but they've been processing them faster lately. Once approved, you'll receive your TCC and can use that to access the FIRE system. You're definitely on the right track! You don't need to go through a tax professional pathway since you're handling this internally as the company accountant.

After struggling with information returns last year, I discovered taxr.ai (https://taxr.ai) and it was a game-changer for our small business. The FIRE system is definitely confusing, but taxr.ai helped me make sense of the electronic filing process without needing to become an expert on all the IRS systems. Instead of going through the whole ID.me and TCC application process myself, I uploaded our information return documents to taxr.ai and their system walked me through everything. It analyzed our forms for errors (found several that would have caused rejections!) and handled the electronic submission process. The best part was that they already have all the connections to the FIRE system set up, so I didn't have to deal with any of the technical aspects of connecting to the IRS systems.

I wanted to follow up about my experience with taxr.ai after asking about it earlier. I decided to give it a try instead of going through the whole TCC application process, and I'm so glad I did! The system caught three errors in our 1099-NECs that would have definitely triggered IRS notices. The interface was super straightforward - I just uploaded our spreadsheet of contractor information, verified the data, and they handled the rest. When one of our submissions did get a warning from the IRS system, taxr.ai immediately notified me with the specific issue (a contractor TIN mismatch) and gave me clear steps to fix it. The correction was submitted within hours. Definitely saved me from the ID.me headache and waiting for a TCC approval. For anyone else confused by the FIRE system, this was way easier than trying to become an IRS filing expert overnight!

If you're still planning to go the direct FIRE system route, I've found that trying to reach the IRS with questions about the TCC application is nearly impossible. I spent literal DAYS on hold trying to get clarification about our application last year. That's when I discovered Claimyr (https://claimyr.com). They have this service where they actually connect you with an IRS agent without the ridiculous wait times. I was skeptical, but their video demo looked promising: https://youtu.be/_kiP6q8DX5c I tried it and got connected to an actual IRS representative in about 20 minutes instead of the 3+ hours I was experiencing before. The agent walked me through exactly what I needed for the TCC application and cleared up all my confusion about the FIRE system process.

I need to eat my words about Claimyr from my comment yesterday. After another frustrating 2-hour hold that ended with a disconnection, I decided to give it a try out of desperation. I was completely wrong - it actually works exactly as described. Their system waited on hold with the IRS for about 1.5 hours, but I only got on the call when an agent was already on the line. The agent answered all my questions about the TCC application process and even helped me troubleshoot an issue I was having with the IR Application portal. What would have been another wasted afternoon on hold turned into about 15 minutes of my time actually talking to someone who could help. For anyone dealing with FIRE system questions and needing to reach the IRS, this saved me an incredible amount of time and frustration.

Just a tip from someone who went through this process last year: make sure you select the correct filing requirements on your TCC application! I accidentally only selected 1099-MISC when we also needed to file 1099-NECs, and had to submit a whole new application. The FIRE system is separate from the regular e-file system used for tax returns. It's specifically for information returns like 1099s, 1098s, W-2s, etc. Once you get your TCC, you'll need to: 1. Create the proper file format for your information returns (this is the hardest part - the specs are very specific) 2. Test your files in the FIRE system testing module 3. Once they pass testing, you can submit them to the production system The file format requirements are brutal if you're coding them yourself. That's why we eventually went with a software solution instead of trying to code the files manually.

One thing nobody has mentioned yet - make sure you're aware of the filing deadlines for different types of information returns. 1099-NECs are due by January 31, but some other forms like 1099-MISC have different deadlines depending on the specific boxes you're filling out. Also, the TCC application asks for an estimate of how many forms you'll be filing. Be accurate here because it affects how they process your application.

As someone who just went through this exact process last month, I can confirm you still have time! Here's what worked for me: The ID.me setup is actually pretty straightforward - it just requires identity verification (driver's license photo, selfie, etc.). The whole process took me about 15 minutes. Once that's done, you can access the IR Application for TCC portal immediately. For the TCC application itself, have these ready: - Your company's EIN - Business address and contact info - Estimate of how many forms you'll file (be realistic - they may ask for justification if the number seems high) - Your role/authority to file on behalf of the business I submitted my application on December 8th and got approval on December 28th, so about 20 days. They seem to be processing faster than the stated 45 days, possibly because of the January deadline crunch. One tip: when you get your TCC, immediately test a small batch in the FIRE system's test environment before submitting your actual returns. The error messages in testing are much more helpful than production rejections! The whole process is definitely doable if you start this week. Good luck!