If you have recently participated in a real estate transaction, you are likely in need of 1099-S instructions. Form 1099-S, or the version of the form that is used to report the Proceeds from Real Estate Transactions, is used for real estate property when you need to report a:
- Sale
- Purchase
- Transfer
However, like many versions of 1099 forms, figuring out Form 1099-S can be tricky. If you need instructions, the IRS resource can help. Below, you will also find the most important information distilled for your convenience.
Completing a 1099 may not feel easy, but it does not need to create an unreasonable amount of stress. If you are looking for 1099-S guidance, you might also need a filing tool. Advanced Micro Solutions’ base W-2/1099 Forms Filer program is preferred by small business users on a budget who need to quickly and accurately fill out and file any number of forms.
It does not matter the type of 1099 form that you need. Our software platform supports all:
- W-2s
- 1099s
- 1098s
- 5498 forms
See our customer support page for a full list of supported forms.
1099-S Instructions and Tips
Form 1099-S has six sections that detail whichever transaction took place. The form preparer will need to include:
- The date of closing
- The gross proceeds from the sale
- The property’s address
- Whether the transferor will receive any property or services
You must additionally indicate the status of the property and buyer, plus the buyer’s part of the real estate tax. The status of the property and buyer can be:
- Nonresident
- Foreign partnership
- Foreign real estate
- Foreign trust
Preparing the form should not take more than a few minutes when all is said and done. What you will need to make sure is that you have the correct information. Using software is a good way to identify smaller issues that might otherwise end up unnoticed or overlooked.
Who is the Transferor?
Many places on a 1099-S form indicate the need for information regarding the transferor. If you are not familiar with the terminology, it is understandable. This language does not appear in other types of 1099 forms.
When you fill out a Form 1099-S in 2026, the transferor is any person who is responsible for closing a real estate transaction.
The transferor may be responsible for filling out the form or the mortgage lender may be the one who is responsible for completing it. If you do accounting work for either business, you will need to understand who holds responsibility for each transaction.
People Also Ask
- What if I forgot to file a 1099 form? – As long as you immediately rectify your oversight and file the necessary 1099 form, it is unlikely that you will receive a hefty fine from the Internal Revenue Service.
- What are the steps to e-file 1099 forms for contractors? – Once you gather the personal worker information that you need and make sure that you should file a 1099 form, select a filing method (software provider or hiring an accountant/bookkeeper).
Additional Resources from AMS
The Form 1099-S instructions are straightforward, but extra support is never a bad thing to have as a trustworthy resource. Our Frequently Asked Questions resource has a section dedicated to different types of 1099 reporting. For more tips and solutions on filling out 1099-S forms, viewing our 1099-S general information guide can help. We walk users through the important aspects of the common form.
Our menu-driven platform offers a range of data management features that make 1099 filing more reliable. Right from the software, users can print:
- Tables
- Worksheets
- Client letters
- Recipient lists
These capabilities might be especially useful for real estate transactions. We know that following the 1099-S instructions is just half the battle. The other half is finding a filing solution that works best for you. Download our free 1099-etc Demo software today and get started.