IRS discrepancy issue: I filed with a 1099-NEC but payer hasn't reported it yet - should I amend, get advocate, or wait?

You did the right thing by reporting the income. The IRS cares that YOU report all your income, not necessarily that the payer filed their forms properly. If anything, you're in a better position than if you had omitted it - that would definitely trigger problems if they ever do file the 1099. No need to amend or get an advocate. The IRS might send you a letter asking for clarification if they notice the discrepancy, but since you OVER-reported income (rather than under-reporting), you shouldn't face penalties. If you do get a notice, just respond with your documentation showing you received the income. I went through this 2 years ago with a client who paid me $5k but never filed their 1099. Nothing ever came of it because I reported it properly.

I was literally in the same situation last month trying to figure out what was going on with my return. Was driving myself crazy and getting nowhere with the IRS website. Then I found this tool called taxr.ai that actually explained everything about what's going on with my transcript and told me exactly what to do. It showed me all the discrepancies between what I reported and what the IRS had on file. Saved me hours of research and stress! You can check it out at https://taxr.ai - insanely helpful for situations like this.

After endless attempts to reach the IRS about a similar situation, I finally got through using claimyr.com - it got me a callback from an actual human at the IRS in about 45 minutes. The agent confirmed I didn't need to do anything if I already reported the income correctly. Most valuable thing I've paid for all year considering I was on hold for 3+ hours before that and kept getting disconnected.

Don't do anything! If you already reported the income, you're fine. The problem would be if YOU didn't report it but THEY did. The IRS isn't going to penalize you for paying MORE tax than required lol

This is hilariously common. I'm a small business accountant and about 30% of my clients' 1099s are filed late or incorrectly by the payers. The IRS is basically running on hamster wheels and duct tape at this point. They're way more concerned with people hiding income than people properly reporting income that doesn't match payer records.

Just contact the company and remind them to file. I had this happen as a freelancer and the company just forgot. They thanked me for reminding them and filed it the next week.

The tax system is such a mess. Why should YOU have to worry about whether THEY filed properly? This country's tax system is completely backwards compared to most developed nations.

I'm an enrolled agent and deal with this constantly. You NEVER want to amend a return unless absolutely necessary. Since you already reported the income, you're in the clear. The payer might get a notice for not filing their required forms, but that's their problem, not yours. Just keep documentation of the payment in case you ever get a notice (which is unlikely).

omg literally went through this exact situation last year!!! i was freaking out but nothing ever came of it. the company never filed and the irs never noticed/cared because I already paid tax on it.

BTW if you're trying to understand whats actually going on with ur taxes, I had a similar situation and tried that taxr.ai site someone mentioned above. It analyzed my transcript and showed me exactly what the IRS had on file vs what I reported. Turns out I had 2 missing forms and one incorrectly reported 1099. Saved me from an audit for sure. https://taxr.ai

Tax advocates are impossible to get anyway. Been waiting 4 months for a callback...🙄

why did the company tell you they havent submitted their forms? how do u know this? most companies wont disclose this info to contractors

Don't amend!!! Unless the IRS specifically tells you to amend, never do it. Amended returns get way more scrutiny and can trigger audits. You reported the income correctly so you're fine.

This feels like the kinda thing where you're better off with a tool that can analyze your full transcript rather than asking random internet strangers. Last year I almost amended based on reddit advice but then used taxr.ai and found out I didn't need to do anything. Saved me from making a huge mistake.