1099 Corrections can get quite complex and vary according to the situation.
Review IRS Publication 1220 available on the IRS website.
The original efile should never be resent. The IRS wants only the corrected 1099.

1.  If vendors were left off the original transmittal file, the publication reads on page 175:
"Information returns omitted from the original file must not be coded as corrections. Submit them under a separate Payer "A" Record as original Returns"
This can be handled in Fundware by renaming the previous transmittal file and any other 1099 report files the client wishes to keep.  Then the user will go through the whole 1099 process starting from the Initialize and purge and extract the vendors who were omitted.  An easy way to do this is to put something like the number 10 in a note field they aren't using.
They can then extract vendors who have 10 to 10 in the note field and will only get the vendors they previously missed. This will eliminate having to edit a larger file, although that is also possible. They will then submit the transmittal file to the IRS just as they originally did with the larger group of vendors. For omitted 1099s, it is not considered a correction file.

2.  If the correction involves an incorrect Taxpayer number, it is more complicated and we cannot produce an efile through FundWare.  Those corrections should be done through the IRS website.
There are currently 1099C items on your 1099 menu, under Produce 1099C forms, but you cannot print a form through those options, as it goes only to Print Manager, not Forms Manager, which is currently used. You can however print out the generated report for the record.  It is our intention to take these items off the menu as they don't function as originally intended.

3.  If the correction is for an incorrect amount, the process can be handled all the way through Fundware according to instructions in the manual.  Make sure to rename the previous transmittal file and any other 1099 report files you wish to keep.
Follow the instructions below to correct the amount and check the box for a corrected form.
1. Click on Accounts Payable > 1099 Forms > Extract, Sort, Edit 1099 > Define and Edit 1099 Vendors.
2. Press C to Change and enter the Vendor ID.
3. Use Page Up and Page Down to move through the Vendor information.
4. Locate the section that contains the amount that needs to be moved/changed. Enter this section number and press Enter.
5. Use the <Enter> key to move through the fields. Enter the appropriate amounts where they need to appear.
6. Continue to press <Enter> until the statement "Enter field to be changed (0 to accept)" appears at the top.
7. Enter 6, press Enter,enter down field 7 to Corrected and type in 1 - Corrected box amount.
8.  Continue to press <Enter> until the statement "Enter field to be changed (0 to accept)" appears at the top.
9. Enter 0.
10. Press <Enter> and then <ESC> and E to End this screen.

This has changed the vendor information and will print correctly on your 1099 forms. The form can then be printed and the "Correction" box will be checked.
To produce the efile, you will have to select only the vendors with the correction and label the file as a correction file when producing. DO NOT resend other vendors. The file should only contain the corrected vendor, and this can also be done directly on the IRS website instead of through Fundware.
The 1099c correction programs are not used for this function.