See the instructions below if you received any of the following IRS rejection codes:

  • FW2-502
  • FW2VI-502
  • 1099R-502-01
  • F2439-502
  • FW2G-502

Reject Codes FW2-502 and FW2VI-502

If your return is rejected with IRS error code FW2-502 or FW2VI-501, the Employer Identification Number (EIN) you entered for a Form W-2 does not match the number in the IRS Masterfile.

An invalid employer identification number usually results from one of three scenarios. The number you entered in the federal EIN section of your TaxACT W-2:

  1. was taken from the state section of your physical W2,
  2. does not match the federal EIN on your physical W2, or
  3. matches the federal EIN on your physical W2, but is incorrect (i.e. the number provided on your W-2 is wrong).

An EIN is 9 digits in length with the format of XX-XXXXXXX. You will need to make any corrections in the software if the numbers do not match.

IMPORTANT: If the numbers match, you will need to contact your employer and/or the IRS to obtain the correct numbers. The IRS can be reached at 1-800-829-1040.

To verify or modify the EIN you entered:

  1. From within your TaxACT return (Online or Desktop), click on the Federal Q&A tab
  2. Click Wages and Salaries to expand the section and then click Wage income reported on Form W-2
  3. Click Review to review a W-2 you previously created 
  4. Click Step-by-Step Guidance
  5. Verify that the Employer's ID number you entered matches the number on your physical W-2 and correct any errors

Once you have corrected this information, you can resubmit your return by going to the Filing tab and repeating the electronic filing steps.

Reject Codes 1099R-502-01, F2439-502, and FW2G-502

If your e-filed return is rejected with code 1099R-502-01, F2439-502, or FW2G-502, you will need to verify a different identification number. From within your return, follow the appropriate steps below:

  • For code 1099R-502-01:

    Click on the Federal Q&A tab. Click Retirement Plan Income to expand the category, then IRA, 401(k), and pension plan distributions (Form 1099-R). Click Review to review a form you previously created, then select Step-by-Step Guidance. On the screen titled Retirement Plan Income - Payer's Information verify that the Payer's federal ID number correctly matches the number on your physical Form 1099-R.

  • For code F2439-502:

    Click on the Federal Q&A tab. Click Investment Income to expand the category, then Undistributed Long-Term Capital Gains (Form 2439). Click Review to review a form you previously created. On the screen titled Form 2439 - Payer's Name verify that the RIC or REIT's ID number correctly matches the number on your physical Form 2439.

  • For code FW2G-502:

    Click on the Federal Q&A tab. Click Other Income to expand the category, then Gambling winnings. Click Yes, then click ContinueClick Review to review a form you previously created. On the screen titled Gambling Winnings - W-2G - Payer's Name verify that the Payer's identification number correctly matches the number on your physical Form W-2G. 

Once you have corrected the information, resubmit your return by clicking the Filing tab and repeating the electronic filing steps.


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