In August 2024, we notified the Director, Examination Case Selection, Small Business/Self-Employed Division, of our concern that the business rule that performed a validity check on the gross proceeds amount reported on Form 1099-S, Proceeds From Real Estate Transactions, was not working as intended. Our analysis identified 13 of 20 records erroneously rejected or were identified as errors by IRIS. We recommended that the IRS request programming changes to prevent Forms 1099-S from being rejected or incorrectly identified as errors.