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See the following instructions if you received one of these IRS rejection codes: "FW2-502," "1099R-502-02," "F2439-502-01," or "FW2G-502."

Understanding reject code "FW2-502:"

If your return is rejected with this code, the Employer Identification Number (EIN) you entered for a Form W-2 Wage and Tax Statement does not match the number in the IRS Masterfile.

An EIN is nine digits in length with the format of XX-XXXXXXX.

An invalid employer identification number usually results when the number you entered in the federal EIN section of your TaxAct® W-2:

  • was taken from the state section of your physical Form W-2,
  • doesn't match the federal EIN on your physical Form W-2, or
  • matches the federal EIN on your physical Form W-2, but is incorrect (i.e. the number provided on your W-2 is wrong).

Make corrections in the software if the numbers don’t match. If the numbers do match, contact your employer or the IRS (1-800-829-1040) to get the correct numbers.

To verify or modify your EIN, see Form W-2 - Adding, Reviewing, or Deleting.

Once you've corrected this information, click Filing, update your information, and repeat the e-filing steps.

Understanding reject codes "1099R-502-02," "F2439-502-01," and "FW2G-502":

If your e-filed return is rejected with one of these codes, you’ll need to verify a different identification number from within your return:

For code "1099R-502-02"

  1. From within your TaxAct return (Online or Desktop), click Federal. On smaller devices, click in the upper left-hand corner, then click Federal.
  2. Click Retirement Plan Income in the Federal Quick Q&A Topics menu to expand, then click IRA, 401(k), and pension plan distributions (Form 1099-R).
  3. Click + Add Form 1099-R to create a new copy of the form or click Edit to review a form already created.
  4. Click Quick Entry to scroll down to answer all applicable questions or click Step-by-Step Guidance to proceed with the program interview questions.
  5. 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 Distributions From Pensions, Annuities Retirement or Profit-Sharing Plans, IRAs, Insurance Contracts, etc.

For code "F2439-502-01":

  1. From within your TaxAct return (Online or Desktop), click Federal. On smaller devices, click in the upper left-hand corner, then click Federal.
  2. Click Investment Income in the Federal Quick Q&A Topics menu to expand, then click Undistributed Long-Term Capital Gains (Form 2439).
  3. Click + Add Form 2439 to create a new copy of the form or click Edit to review a form already created.
  4. Continue with the interview process to enter all of the appropriate information.
  5. 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 Notice to Shareholder of Undistributed Long-Term Capital Gains.

For code "FW2G-502":

  1. From within your TaxAct return (Online or Desktop), click Federal. On smaller devices, click in the upper left-hand corner, then click Federal.
  2. Click Other Income in the Federal Quick Q&A Topics menu to expand, then click Gambling winnings.
  3. Continue with the interview process to enter all of the appropriate information.
  4. On the screen titled Other Income - Gambling Winnings, click Yes.
  5. On the screen titled Gambling Winnings - W-2G - Payer's Information, verify that the Payer's identification number correctly matches the number on your physical Form W-2G Certain Gambling Winnings.

Once you have corrected the information, click Filing to repeat the e-filing steps.

Note that any link in the information above is updated each year automatically and will take you to the most recent version of the document at the time it is accessed.


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