When you process the Electronic 1099 file there are two files created.  The first file (TNM1099.L##) is a report for your in house use.  The second file (TNM####) is the actual file that you will submit to the IRS. 

In many cases where you received a rejection from the IRS, it is usually because the report file was submitted and not the electronic file.  The electronic file is located in the Fundware/Data directory on the server.  This file begins with TNM and then contains a 4 digit TTY or Process ID.  This file does not contain any extension. 

Make sure Field 9, Payer name ctrl is completed.  This number is assigned by the IRS, and is usually obtained from the mail label on Package 1099 mailed to most payers each December.  If they do not have this number, they will need to contact IRS to obtain it.