As a real estate closing agent, you have many responsibilities, but those responsibilities don’t end with the exchange of keys. Closing agents are required by the IRS to submit Form 1099-S to report the sale or exchange of real estate. The IRS will examine this document to determine if the seller owes real estate taxes on any gains from the sale. Since the forms aren’t due until the following year, many closing agents will hold on to them and file all of the 1099-S forms at one time. Although it may sound like a good idea, in reality this practice is confusing and stressful.
To ensure all forms are filed on time and correctly, closing agents must have an outstanding records system. In some cases you may be filing forms for a closing that happened over 12 months prior. You can’t rely on memory to make sure the forms get filed on time.
To make matters even more complicated, 1099-S forms aren’t due on April 15. They are due in February or March of the year of filing. For a closing that happened in 2015, the form would be due to the IRS by February 29, 2016, if filed manually, or by March 31, 2016, if filed electronically.
As the closing agent, you face fines and penalties for not filing the 1099-S form on time. But with Easysoft’s EasyRealEstate Suite you can file 1099-S forms electronically on the day of the closing as one of your final checklist items.
Prepare And File 1099-S Forms With Easysoft
The Easysoft EasyRealEstate Suite includes our signature real estate software, Easy HUD. EasyHUD streamlines the entire real estate closing process from start to finish. Using Easy HUD, real estate attorneys and agents can prepare 1099-S substitute or exemption forms with the 1099-S Module. Then use our electronic filing service to file 1099-S forms at the time of closing. It costs just $10 per filing to use this service.
Reporting 1099-S Forms Just Got Easier
All you need to do to start submitting 1099-S forms is enroll in the service. Submit a 1099-S Filing Service Enrollment Form to us once. After that, you are able to submit as many forms as you need to with just one click from the Easy HUD real estate closing software. You’ll instantly receive a confirmation number and can rest easy knowing your forms have been electronically submitted, safely and securely.
Easy HUD is designed to eliminate the chance of errors and incomplete forms. The program automatically populates the form based on HUD form data and validates that data prior to submission. You will never have to worry about locating missing information months after the closing when you use Easy HUD.
Electronic filing means you can complete all of your responsibilities for the closing right away. There is no reason to risk missing a deadline or risk having a transaction slip through the cracks because you waited and mailed all of your forms at once. You will also save significant staff time by not having to fill out, double-check, stamp, and mail all of your forms at one time.
If you are tired of the last-minute scramble to submit 1099-S forms before the deadline, contact Easysoft today at 1-800-905-7638 to order Easy HUD and the EasyRealEstate Suite.