Form 1096: What It Is and When Your Business Needs It

What Is Form 1096 Used For?

Form 1096 summarizes the batch of information returns being submitted together. It tells the IRS how many forms are enclosed and what the total dollar amounts reported across those forms add up to. You file one Form 1096 per type of return. If you're mailing both 1099-NEC forms and 1099-MISC forms, you need two separate Form 1096s, one accompanying each set.

When Is Form 1096 NOT Required?

Form 1096 is not required when filing electronically through the IRS FIRE system (Filing Information Returns Electronically). As of 2024, any business filing 10 or more information returns of any type is required to e-file rather than mail paper returns. That threshold was lowered from 250, which means the large majority of businesses that file 1099s at any meaningful scale are now required to e-file and therefore never need Form 1096.

If you're filing fewer than 10 information returns and choosing to mail paper copies, Form 1096 is required. For most growing businesses, the more useful thing to know is that e-filing eliminates the need for it entirely.

How to Complete Form 1096

The form collects basic identifying and summary information. You'll enter your business name and address, your EIN, the total number of forms being transmitted in this batch, and the total dollar amount reported across all of them. You check a box indicating which type of form is enclosed, sign the form, and include it at the front of the paper return package.

Use a separate Form 1096 for each type of information return. If you're transmitting 1099-NEC and 1099-INT forms in the same mailing, each gets its own Form 1096 with its own totals.

Form 1096 Filing Deadline

Form 1096 accompanies paper returns, so its deadline matches the paper filing deadline for whichever form it's transmitting. For most 1099s filed on paper, that's February 28. The 1099-NEC is an exception with a January 31 deadline for both paper and electronic filing. If you're e-filing through FIRE, the deadline for most forms extends to March 31, but again, Form 1096 isn't part of the electronic process.

Form 1096 vs. Form W-3: What's the Difference?

Form 1096 and Form W-3 serve the same function for different form types. Form 1096 is the transmittal cover sheet for 1099s and other information returns. Form W-3 is the transmittal cover sheet specifically for W-2 forms sent to the Social Security Administration. Both summarize the enclosed forms and their totals, and both are only required for paper filings. Neither is needed when submitting the underlying forms electronically.

How Slash Helps Businesses Track Contractor Payments for 1099 Filing

Accurate 1099s start with accurate payment records maintained throughout the year. If you don't have a clear account of what was paid to each contractor, pulling totals in January means reconstructing months of transactions under deadline pressure. A Slash business bank account keeps all vendor and contractor payments documented in real time, organized and searchable, so generating 1099 totals at year end is a straightforward export rather than an audit of your own records.