CA Licensed Escrow Company in South Orange County - not issuing form 1099-S - Spidell

CA Licensed Escrow Company in South Orange County – not issuing form 1099-S

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Message Board CA Licensed Escrow Company in South Orange County – not issuing form 1099-S

This topic contains 1 reply, has 2 voices, and was last updated by Sandy Weiner 4 months, 1 week ago.

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  • #151365
    Dennis Black
    Participant

    My client sold a residence in Orange County last 10/2018. My client has tried without success to get this escrow company to issue a 2018 Form 1099-S “Proceeds from Real Estate Transactions” and they have refused. They say that no other escrow client has asked for the form. Also, they said for my client to create her own substitute form. They will only give her a Closing Statement for the sale of her home in South Orange County (it does not have their EIN). I have always received a copy of the form 1099-S from my clients selling their residences.

    My understanding from the IRS Instructions is that the last company handling the transfer transactions (closing) must issue form 1099-S by the 02/15/2019.

    My question is:

    Is the escrow company required to issue that IRS form?

  • #151413
    Sandy Weiner
    Participant

    Yes they are required to file it, and are subject to penalties if they do not. You can report them to the FTB. You can contact the withholding unit at: https://www.ftb.ca.gov/individuals/withholding/nonwage-withholding/contact.shtml