We’ve consulted on over $16 billion in tax debt since 2007 - See what real people are saying about how we changed their life
Tax Defense Network


Tax Defense Network

What Do I Do With These 1099-INT & 1099-DIV Forms?

March 22, 2016

Many taxpayers do not receive income solely from wages; income may also come from investments and interest. If taxpayers receive income from interest, dividends or capital gain distributions, they should remember to consult any form 1099-INT and form 1099-DIV they received when preparing their tax return.

What is Form 1099-INT?

Usually interest is taxable income and must always be reported to the IRS. Form 1099-INT, Interest Income, is used to report interest received from banks, brokerages and other financial institutions. These institutions are not required to file Form 1099-INT for interest of less than $10, but taxpayers still need to report it on their tax return.

What Form 1099-INT Includes

  • Box 1 – total taxable interest paid
  • Box 2 – the amount of early withdrawal penalty (if any)
  • Box 3 – the amount of U.S. Treasury security interest paid
  • Box 4 – the amount of tax withheld
  • Box 5 – investment expenses
  • Box 6 – foreign tax paid
  • Box 7 – the foreign payor
  • Box 8 – tax-exempt interest
  • Box 9 – interest from special private activity bonds
  • Box 10 – the CUSIP number for tax-free bond interest
  • Boxes 11-13 – state ID information and withholding


Certain entities are not required to file Form 1099-INT. These include:

  • A corporation
  • A tax-exempt organization
  • Any individual retirement arrangement (IRA)
  • Archer medical savings account (MSA)
  • Medicare Advantage MSA
  • Health savings account (HSA)
  • A U.S. agency
  • A state
  • The District of Columbia
  • A U.S. possession
  • Registered securities or commodities dealer
  • Nominees or custodians
  • Brokers
  • Notional principal contract (swap) dealers

What is Form 1099-DIV?

Taxpayers receive Form 1099-DIV, Dividends and Distributions, when their stocks pay dividends or a mutual fund earns them capital gains. Taxpayers must include the income reported on 1099-DIV on their tax return and pay the requisite taxes.

What Form 1099-DIV Includes

  • Box 1a – total ordinary dividends
  • Box 1b – total qualified dividends
  • Boxes 2a-d – break down of capital gains from mutual funds, REITs and collectibles
  • Box 3 – nondividend distributions
  • Box 4 – federal tax withheld
  • Box 5 – investment expenses
  • Boxes 6 and 7 – foreign tax paid and the foreign payor
  • Boxes 8 and 9 – cash and noncash liquidation distributions
  • Box 10 – private interest dividends
  • Box 11 – specified private activity bond interest dividends
  • Boxes 12-14 – state ID information and withholding

If the total amount reported in box 1a of Form 1099-DIV exceeds $1,500, taxpayers may be required to prepare Schedule B, which reports information about each 1099-DIV.

If you have received any forms 1099-INT or 1099-DIV and are uncertain about how to file your taxes, be sure to check with a licensed tax professional. Preventing expensive tax mistakes before they happen will save both time and money.

Call us to see how we can save you money

Phone Icon White
Chat Now
Secured By miniOrange