Telephone Tax Refund? Ha!

No 1099s are being sent to the great majority of taxpayers who claimed the standard TETR amounts. 1099s are going only to the very few taxpayers who used Form 8913 to figure their TETR.

Condor

"-" wrote

Not on interest income. And it's not a law that they ~~can't~~ issue a 1099 on 60 cents of interest. It's a law that they ~~must~~ if it's over a certain amount. Under the amount listed in the law, and they can if they want to. Over the amount listed in the law, and they have to issue, even if they don't want to.

Thanks for the tip. At least now I know why I got the 1099. So what's the problem? I got a $110 credit last year. Now I pay tax on the $20 of that refund that was interest, same as any other interest I've earned. Still a net refund of over $100. Doesn't seem like much to whine about.

"Erehwon" wrote

Certainly doesn't. Viewed from a slightly different perspective, however......... Knowing that they were going to handle it that way, the IRS could have deducted 15% of the interest right up front and been done with it.

"Ken Abrams" wrote

Then the 1099-INT would report the gross interest (for federal and state tax purposes) and the 15% tax withheld.