January and the ensuing months are Form 1099 season! Each year there are interesting developments that happen with regards to banks issuing form 1099s for interest, bank bonuses, referral bonuses, etc. Remember that time when Chase considered 500 Ultimate Rewards points as $500 on the Form 1099? And they followed up in 2024 by considering certain credit card signup bonuses as 1099 income. I digress…
Most of the standard tax forms we’ll receive by the end of January, per federal bank rules. There are a few tax forms which are sent out in later months.
The comments here are a dedicated discussion post where we can discuss all things related to tax form 1099 for year 2024: when forms become available, which banks don’t send out 1099s, which earnings are supposed to be reported on the form 1099, referral bonus discussion, and any other weirdnesses that happen.
I’ll add in below any specific tidbits that catch my eye, and we’ll likely republish this post as things develop. If there is a significant story we’ll publish that separately as well.
Note, receiving a tax form or not receiving one has no bearing on your actual tax liability. This discussion is just to inform people on what to expect, when to look out for a form, check for any mistakes, remember to report something from a bonus that isn’t getting a tax form, etc. Consult a tax advisor about actual tax liability.
- First Tech FCU included the $13 Financial Fitness Association payment they gave as Interest.
Isnt there a way to check what was reported as income? I could have sworn I saw o. IRS.gov a form you could request to see this.
You can pull your IRS transcripts. I think that tells you what is reported.
I think there’s a lag (i.e. you can’t see the transcript for tax year 2024 until the normal filing period for it has ended) to prevent you from using that info to decide which income to report to match what info the IRS has.
Correct, but they aren’t available for download till later on, perhaps June?
Right. They are definitely not real time. I use it to compare last year. I have several clients that should send 1099-NEC but don’t so I always verify later in the year that what I reported was correct.
Apart from all brokerage, crypto and forex accounts, still missing online or on paper:
Let’s say I never receive a 1099 or it gets lost and I don’t have personal records of how much of a bonus I received. Am I supposed to…guess?
I suppose you can choose to let the IRS figure your tax and send you the bill.
In that case, why bother filing at all? lmao
You have to file with any information you have available. That’s different fron not filing.
The IRS expects you to keep records. If you don’t keep records, you’re supposed to scroll through your bank accounts and figure it out. If you still can’t, yes, guess. Hope you don’t guess wrong.
In the future, you need to keep records of all your income.
If your Wage and Income transcript is available before the tax filing deadline (or if you file an extension), you can use it as a reference. Otherwise, file your taxes to the best of your knowledge. After the transcript becomes available, check it against your return and file an amended return if necessary.
Kind of late now, but it sure would have been nice to know whether these 1099s were delivered electronically or through a snail mail.
Got Ally 1099 INT (Jan 9th)
Got US bank 1099 INT with the 450 SUB as interest for checking opening (Jan 18th)
Whatever I receive in the snail mail by mid Feb that’s it. Tax appt.
So far I’ve gotten-
Andrews FCU
City CU
All America Bank
Alliant CU
Flagstar Bank
Laurel Road
Service CU
Varo
Wellby Financial
Got 1099-INT from US Bank, reporting the $450 bonus as interest. Also got 9 cents of savings interest on a separate 1099-INT from them lol
Received So Far:
HSBC 1099 INT
Penfed 1099 INT
First Tech 1099 INT
Axos 1099 INT and 1099 MISC
How do you all fit all these 1099-INTs? Isn’t the space limited?
No, attached statement with extra lines.
Read instructions, it’s written clearly what to do.