What's New for the 2026 Form 1099-NEC (and How This Software Supports It)
The IRS made several significant changes to Form 1099-NEC beginning with tax year 2026 (filed in early 2027). W2 Mate has been updated to support all of them:
- New two-per-page form layout. The 2026 Form 1099-NEC was redesigned and is now printed two forms per page instead of three per page. W2 Mate prints on the new 2026 two-up layout, on both pre-printed red-ink forms and plain white paper (recipient / payer copies).
- Separated address fields. The IRS previously used a single combined address line for both the issuer (payer) and the recipient. For 2026, those blocks are split into individual entry fields: the payer now has a separate street address and Room or suite no., the recipient now has a separate Street address and Apt. no., and the city, state and ZIP code are broken out into their own separate fields as well. W2 Mate can automatically split your existing address data into the separate fields required by the IRS, so you don't have to re-enter it.
For the recipient copy (Copy B), W2 Mate also lets you choose how the name and address print so it works best with your envelopes — both layouts meet IRS requirements:- Layout #1 — Envelope-ready Name & Address: groups the name and address into one block that works cleanly with window envelopes.
- Layout #2 — Form-style Name & Address: looks exactly like the IRS form, with labeled boxes and the apartment / suite number separated from the street address (also fits window envelopes).
- Payer, recipient and form-field repositioning. Beyond the address change, the IRS moved a number of payer, recipient and amount fields to new locations on the redesigned 2026 form. W2 Mate prints on the new field layout so your data lands in the correct positions.
- Box 1 renamed to Box 1a. Nonemployee compensation, which was reported in Box 1 in prior years, is now reported in Box 1a (still “Nonemployee compensation”). W2 Mate reflects the new box numbering on the form and in the e-file / import data.
- New boxes for cash tips and overtime compensation. The 2026 Form 1099-NEC adds new boxes for cash tips, the Treasury Tipped Occupation Code (TTOC), and overtime compensation — reporting tied to the deductions created under recent federal legislation (the One Big Beautiful Bill Act). W2 Mate includes these new boxes so you can enter, print and e-file this information.
- Form now shows a “date created” in addition to the revision date. The 2026 form displays both the IRS revision date (Rev. December 2026) and a date created. W2 Mate prints the current IRS version so your forms carry the correct dates.
- FIRE retired — IRIS is now the only e-file system. For tax year 2026 / filing season 2027, the legacy IRS FIRE system has been retired and the Information Returns Intake System (IRIS) is the only IRS intake system for electronically filing 1099 information returns. W2 Mate creates the IRIS-formatted CSV upload file (requires the W2 Mate IRIS Export feature) that you upload through the IRIS portal. Note that you must obtain an IRIS TCC; a FIRE TCC cannot be used with IRIS.
- Higher $2,000 reporting threshold. The reporting threshold for nonemployee compensation increased from $600 to $2,000, effective for payments made on or after January 1, 2026 (the threshold will be adjusted for inflation in later years). W2 Mate supports the new threshold.
Always verify current requirements against the final IRS forms and instructions for the year you are filing.
1099-NEC Software Feature Summary
| Feature | Details |
|---|---|
| Base Price | $99. Some capabilities (such as data import, e-filing, PDF forms and networking) require additional optional features for an extra fee — see the Buy page for details. |
| Forms Supported | 1099-NEC, 1099-MISC, 1096, W-2 and W-3 |
| Copies Printed on Regular White Paper with Black Ink. |
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| Copies That Can Be Printed On Red-Ink / Pre-Printed Forms. |
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| Efficient and accurate data collection. | W2 Mate software simplifies the task of manual typing into 1099-NEC screens that mimic the actual form. Click here for a screen-shot of the software’s main window. |
| No per form or EIN fees. | Unlimited EINs, SSNs, 1099-NEC forms, 1099-MISC forms, 1096 / W-3 transmittals, recipients, employees and filers. |
| Copy / Paste. | Copy 1099-NEC or 1099-MISC recipients from one company and paste into another one. |
| Multi-state | Supports multi-state W2 employees or 1099-NEC recipients. |
| Desktop-based / on-premises (not online) |
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| US-based support. | Questions and inquiries are addressed using telephone calls, E-mail, online chat, or Fax. Ample self-service options include online step-by-step tutorials, questions / answers website and comprehensive documentation. |
| Backup and Restore | We strongly advise filers to make frequent back-ups of their W2 / 1099 tax data preferably to an external media such as a flash drive. Our 1099-NEC software has a backup feature built directly into the program that will allow users to create a file with the extension “WMB” (WM stands for W2 Mate and the B stands for backup). The restore feature closes the currently open company file and then opens the backup file selected by the user. |
| Corrections. | This software handles paper corrected and reissued 1099 / W2 forms including 1099-NEC, 1099-MISC and 1096. Please note that the IRS IRIS system requires electronic corrections to be made directly in the IRIS portal, so corrections for e-filed 1099 forms are handled there rather than in the software. |
| Exporting data to Excel spreadsheet. | You can export nearly all of your 1099-NEC data (and other forms data) to Microsoft Excel. This gives users a way to analyze / review their forms using a spreadsheet / business software. |
| Same recipient with both 1099-NEC and 1099-MISC at the same time. | This feature is very important for customers who need to issue both 1099-NEC and 1099-MISC to the same recipient. Enter the recipient info (name, address, tax ID) once and then only populate the amount boxes on the 1099-NEC and 1099-MISC. For example if you want to report rents and none-employee compensation to John Doe, then you only need to enter a recipient called John Doe, mark the recipient as “Use 1099-NEC and 1099-MISC” and in the same screen enter 1099-NEC Box 1 (none employee compensation) and 1099-MISC Box 1 (Rents) and W2 Mate will create two forms for John Doe. |
| Comprehensive Data Import. | Import 1099-NEC recipient information and dollar amounts from Excel, legacy IRS FIRE Pub 1220 text format, Intuit QuickBooks, Sage, MS Dynamics, Jasteck, and other sources. Data import requires W2 Mate option #3 in addition to the basic W2 Mate software. |
| Data rollover between years. | Auto transfer key data from year to year (such as filer and recipient information). So, for example if you process 1099-NEC forms for 2025, you only need to change the dollar amounts when you need to file for 2026 (assuming the recipient information is still accurate). |
| Supports Secure PDF 1099-NEC Forms. | Create secure and password-protected 1099-NEC forms that comply with IRS Publication 1179 (General Rules and Specifications for Substitute Forms 1099). You can distribute the PDF files to recipients via email or other digital means such as hosting on a secure website, or through online collaboration platforms that became very popular recently such as Zoom video, Slack, Microsoft Teams, Zoho and Google Docs. Please remember that the recipient must consent (agree) to receive the forms in a digital format. Creating PDF W2s / 1099s requires W2 Mate option #6 in addition to the basic W2 Mate software. For a sample PDF 1099-NEC form generated from inside W2 Mate click here. |
| Printing address mailing labels. | Within this program, you can export a Microsoft Word file containing your 1099-NEC recipient details such as address and contact information. This file can then be used by external software to produce mailing labels (Avery 5160). |
| Batch update function. | The Batch Update function allows you to change the 1099-NEC information for two or more recipients and save your updates in one process. For example, you can update box 6 (state / payer state ID number) for multiple recipients to specify which state you want your 1099-NEC forms reported to. |
| Sharing data over a network (multiple users). | In addition to stand-alone deployment, this software is designed to be installed on networked servers or remote desktop environments such as Citrix and Windows Terminal Server. Networking requires W2 Mate option #2 in addition to the basic W2 Mate software. |
| 1099-NEC Electronic Filing (through the IRS IRIS System). | With this software you can create IRIS-formatted CSV files of IRS Form 1099-NEC that you upload to the federal government through the IRS IRIS (Information Returns Intake System) portal. All 1099 and 1098 forms supported by W2 Mate can be exported into the IRIS CSV format — the 1099 e-File feature is not limited to 1099-NEC and includes other forms such as 1099-MISC, 1099-INT and 1099-DIV. The legacy IRS FIRE (Filing Information Returns Electronically) system has been retired for federal 1099 e-filing; the FIRE (Publication 1220) format now applies only to direct state uploads for states that still require it. Please remember that the IRIS portal does not provide fill-in forms for 1099-NEC or other types of 1099 returns; transmitters must have software, like W2 Mate, to create the upload file (the IRS also does not accept scanned or PDF documents). Federal 1099 e-filing requires the “W2 Mate IRIS Export Feature for 1099-NEC, MISC, INT and DIV Forms” in addition to the basic W2 Mate software. You must also obtain an IRIS TCC (a FIRE TCC cannot be used with IRIS — the two are separate and not interchangeable). W-2 forms are filed separately with the SSA through the BSO website using W2 Mate Option #4 (W2 Forms Only Electronic Filing). |
| State 1099-NEC Filing (on paper and electronically). | Since the IRS does not forward 1099-NEC returns to the state (like other 1099 forms), this software offers the ability to file directly with the state, either by generating the paper form or creating an E-File submission that filers can upload through the state online system (some states need the file sent in the mail on a USB or CD).The following states are currently supported: Arizona, Arkansas, California, Delaware, District of Columbia, Georgia, Indiana, Iowa, Kansas, Kentucky, Maryland, Massachusetts, Michigan, Mississippi, Missouri, Nebraska, New Jersey, North Carolina, Oklahoma, Oregon, Utah, Vermont, Virginia, West Virginia and Wisconsin. Direct state 1099-NEC e-file submissions use the legacy FIRE (Publication 1220) format and require the “W2 Mate 1099 Export for States Supporting Retired FIRE Format” in addition to the basic W2 Mate software. |
| Quality Control. | This feature is very important to enterprise that process a large number of 1099-NEC forms and want to guarantee that accuracy of their information. For example, the Recipient Tax ID Hash (sum of all IDs) provides an easy way to check if all the tax IDs imported / entered into the system are accurate and match the data source. The quality control feature is part of the e-File engine (requires the W2 Mate IRIS Export feature). |
| Suitable for different types and sizes of businesses. | W2 Mate is trusted by thousands of organizations including accounting firms, community colleges, small businesses, manufacturing companies, banks, hospitals, law offices, school systems, non-profits and governmental agencies. |
| Batch Transmissions. | This feature is mainly utilized by accounting / CPA firms wanting to file 1099-NEC forms for multiple clients in one batch. So instead of uploading one 1099-NEC submission file per client to the IRS IRIS portal, our software combines multiple companies into one single submission that can be transmitted just once. This makes the process much easier; what would typically take hours for high-volume filers, can be accomplished in minutes. |