Broker fails to report 1099

Forum|Forum|1 year ago
October 16, 2024
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What to do if my broker does not report 1099 to the IRS?

I was expecting a very large tax refund due to over-withholding by my broker. They issued me a 1099, correctly showing the amount withheld. However, the IRS considered my tax return as frivolous. I spoke to the local IRS office, who told me that the reason was they do not have my 1099 sent to them from my broker (I attached my copy to the tax return when I filed). They did not provide additional help beyond this information.

I contacted my broker many times. They are not responsive and not coorperating, aside from asserting that all 1099 issued to customers are already sent to the IRS, which contradicts what the IRS said.

I tried my best but have no control over the broker's behavior. The IRS does not have a record of my tax withheld and they did not accept my own copy of the 1099. What should I do?

Anonymous_

Employee

No text available

cmy28Author

Thank you. I understand that I have the right to appeal and will do.

My key concern is: Since the broker did not report the 1099, there is no proof or evidence of the actual amount withheld. Any claims that I tend to make in this situation, based solely on my personal copy of 1099, would be fragile and easily deemed as unsubstantiated. Is there any critical measures that I can take to address this particular situation?