1099's Late

According to USA Today, the IRS has given 5 brokerage firms permission to delay sending their 1099 statements for 2006. The reason is recent changes in the tax laws regarding reporting tax-exempt interest. Amended 1099's have been an issue for the brokerage houses for several years with correction levels going from their historic level of 5-8% to 14% in 2003. The correction rate has maintained that high level the last two years. Even brokers who are planning to send out their 1099s on time, acknowledge that there will be corrections at a later date.