Re: Form 1099 (interest income) from IRS?? [revised]

Did you get a tax refund last year? If so, it's probably real.

"Interest on individual 2019 refunds reflected on returns filed by July 15, 2020 will generally be paid from April 15, 2020 until the date of the refund. Interest payments may be received separately from the refund. By law, the interest rate on both overpayment and underpayment of tax is adjusted quarterly. The interest rate for the second quarter, ending on June 30, 2020, is 5% per year, compounded daily. The interest rate for the third quarter, ending September 30,

John is correct. This is interest paid on your delayed income tax refund. Ignore it at your own peril. You will receive a CP2000 document mismatch notice 6-18 months after you file your return if you leave this off your return.

Ira Smilovitz, EA Leonia, NJ

I am extremely confused still. I live abroad and received one of these letters. Total interest paid or credited was $36.61. I only made $3500 this past year so yesterday I was told by the IRS that I do not need to file my taxes as I don't meet the global income limit. Do I now need to file my taxes because I received this form from them?

Probably not. When you include this amount, are you still under the filing threshold? If so, you don't need to file.

Ira Smilovitz, EA Leonia, NJ

You can use the calculator at the following link on the IRS web site to see if you are required to file a tax return.