IRS expects big increase in information returns
The IRS is projecting that it will see 12.4 percent more information and withholding documents in 2020 than it projected last year, driven largely by an increase in Forms 1099-B.
The projections were released today in Publication 6292, “Fiscal Year Return Projections for the United States, Fall 2019 Edition.”
This semiannual publication contains projections for Fiscal 2019 through 2026 of some 50 individual, business and tax-exempt return types, such as 1040, 1120, 941 and 990, to be filed by the major return categories. Also included are breakdowns by the IRS business operating divisions and an additional details by medium of filing (paper versus electronic) and actual number of returns filed for FY 2018.
Among the findings:
- For calendar year 2020, the total number of information and withholding documents projected in this update is about 12.4 percent (463.9 million forms) more than the total projected last year. A major portion of the net revision is driven by the increase in the projections of 1099-Bs (i.e., 438.6 million more forms).
- Also, for paper submissions of information returns processing documents, the 2020 estimate is about 6.9 percent less than the paper volumes projected in last year’s update. The change reflects a decrease of almost 3 million returns in the forecast of the number of paper 1099-MISCs filed.