File
Form 1099-INT, Interest Income, for each person
1. To whom you paid amounts reportable in boxes 1, 3, and 8 of at least $10 (or at least $600 of interest paid in the course of your trade or business described in the instructions for Box 1. Interest Income, later),
2. For whom you withheld and paid any foreign tax on interest, or
3. From whom you withheld (and did not refund) any federal income tax under the backup withholding rules regardless of the amount of the payment.
Report only interest payments made in the course of your trade or business including federal, state, and local government agencies and activities deemed nonprofit, or for which you were a nominee/middleman. Report tax-exempt interest that is not original issue discount (OID) on
Form 1099-INT. You do not need to report tax-exempt interest that is OID. Report interest that is taxable OID in box 1 or 8 of
Form 1099-OID, Original Issue Discount, not on
Form 1099-INT. Report exempt-interest dividends from a mutual fund or other regulated investment company (RIC) on
Form 1099-DIV.
Exceptions to reporting. No Form 1099-INT must be filed for payments made to exempt recipients or for interest excluded from reporting.
Box 1. Interest Income
Enter interest not included in box 3. Include amounts of $10 or more, whether or not designated as interest, that are paid or credited to the person’s account by savings and loan associations, mutual savings banks not having capital stock represented by shares, building and loan associations, cooperative banks, homestead associations, credit unions, or similar organizations. Include interest on bank deposits, accumulated dividends paid by a life insurance company, indebtedness (including bonds, debentures, notes, and certificates other than those of the U.S. Treasury) issued in registered form or of a type offered to the public, or amounts from which you withheld federal income tax or foreign tax. In addition, report interest of $10 or more attributable to a TIH of a WHFIT, or accrued by a real estate mortgage investment conduit (REMIC), a financial asset securitization investment trust (FASIT) regular interest holder, or paid to a collateralized debt obligation (CDO) holder, as explained later.
Also include interest of $600 or more paid in the course of your trade or business not meeting the above criteria, such as interest on delayed death benefits paid by a life insurance company, interest received with damages, interest on a state or federal income tax refund, or interest attributable to certain notional principal contracts with nonperiodic payments. See Regulations section 1.446-3T(g)(4).
Include in box 1 any accrued qualified stated interest on bonds sold between interest dates (or on a payment date). Also show OID on short-term obligations of 1 year or less and interest on all bearer certificates of deposit.
Do not include in box 1 interest on tax-free covenant bonds or dividends from money market funds (which are reportable on
Form 1099-DIV). Do not include any description in box 1
Interest to holders of tax credit bonds. Report tax credits in amounts of $10 or more allowed from the following tax credit bonds.
.Clean renewable energy bonds.
.New clean renewable energy bonds.
• Qualified energy conservation bonds.
• Qualified zone academy bonds.
• Qualified school construction bonds.
• Build America bonds (Tax Credit).
Treat these amounts as paid on the credit allowance date. The credit allowance dates are March 15, June 15, September 15, December 15, and the last day on which the bond is outstanding. For bonds issued during the 3-month period ending on a credit allowance date and for bonds which are redeemed or mature, the amount of the credit is determined ratably based on the portion of the 3-month period during which the bond is outstanding.
Generally, interest paid is not required to be reported to the list of recipients below. However, if they are holders of the tax credit bonds listed above, the interest must be reported.
.A corporation.
.A dealer in securities or commodities required to register as such under the laws of the United States, a state, the District of Columbia, or a possession of the United States.
.A real estate investment trust (REIT) as defined in section 856.
.An entity registered at all times during the tax year under the Investment Company Act of 1940.
.A common trust fund as defined in section 584(a).
.Any trust which is exempt from tax under section 664(c).
Box 2. Early Withdrawal Penalty
Enter interest or principal forfeited because of an early withdrawal of time deposits, such as an early withdrawal from a certificate of deposit (CD), that is deductible from gross income by the recipient. Do not reduce the amount reported in box 1 by the amount of the forfeiture. For detailed instructions for determining the amount of forfeiture deductible by the depositor, see Rev. Ruls. 75-20, 1975-1 C.B. 29, and 75-21, 1975-1 C.B. 367.
Box 3. Interest on U.S. Savings Bonds and Treas. Obligations
Enter interest on U.S. Savings Bonds, Treasury bills, Treasury notes, and Treasury bonds. Do not include in box 1.
If you make payment on a U.S. Savings Bond or other U.S. obligation on which interest is reportable, enter your name, address, and federal identification number on
Form 1099-INT and Form 1096, Annual Summary and Transmittal of U.S. Information Returns, not those of the U.S. Treasury Department or the Bureau of Public Debt.
Box 4. Federal Income Tax Withheld
Enter backup withholding. For example, if a recipient does not furnish its TIN to you in the manner required, you must backup withhold at a 28% rate on payments required to be reported in box 1 (which may be reduced by the amount reported in box 2), box 3, and box 8 on this form.
For information on requesting the recipient’s TIN, see part J in the 2016 General Instructions for Certain Information Returns.
Box 5. Investment Expenses
For single-class REMICs only, see Box 5. Investment Expenses under Rules for REMICs, FASITs, and Issuers of CDOs, later.
Box 6. Foreign Tax Paid
Enter any foreign tax paid on interest.Report this amount in U.S. dollars.
Box 7. Foreign Country or U.S. Possession
Enter the name of the foreign country or U.S. possession for which the foreign tax was paid and reported in box 6.
Box 8. Tax-Exempt Interest
Enter interest of $10 or more that is credited or paid to the person’s account if that interest is used to finance government operations and is issued by a state, the District of Columbia, a U.S. possession, an Indian tribal government, or their political subdivisions, or qualified volunteer fire departments. A political subdivision may include port authorities, toll road commissions, utility services authorities, and community redevelopment agencies. Include in box 8 any accrued qualified stated interest on these bonds sold between interest dates (or on a payment date).
Any exempt-interest dividends from a mutual fund or other RIC are reported on
Form 1099-DIV.
No information reporting for tax-exempt OID under section 6049 will be required until such time as the IRS and Treasury provide future guidance.
Include specified private activity bond interest in box 9 and in the total for box 8. See the instructions for box 9, next.
Box 9. Specified Private Activity Bond Interest
Enter interest of $10 or more from specified private activity bonds. Generally, “specified private activity bond” means any private activity bond defined in section 141 and issued after August 7, 1986. See section 57(a)(5) for more details. Also see the Instructions for Form 6251, Alternative Minimum Tax—Individuals, available at
http://www.irs.gov/form6251.
Box 10. Market Discount
For a taxable or tax-exempt covered security acquired with market discount, if the taxpayer notified you that a section 1278(b) election was made, enter the amount of market discount that accrued on the debt instrument during the tax year in the amount of $10 or more. For more details, see Regulations section 1.6045-1(n). Also see TD 9616, available at
http://www.irs.gov/irb/2013-20_IRB/ ar07.html. Unless the taxpayer notified you that the taxpayer did not make a section 1276(b) election, use the constant yield method described in section 1276(b)(2) to determine the accruals of market discount for the debt instrument. See Regulations section 1.6045-1T(n)(11)(i) (B). For a taxable covered security with original issue discount, report the accruals of market discount on
Form 1099-OID rather than on
Form 1099-INT. For a tax-exempt covered security with original issue discount and no qualified stated interest (for example, a zero coupon debt instrument), you are not required to report the accruals of market discount in this box or on
Form 1099-OID.
Box 11. Bond Premium
For a taxable covered security acquired at a premium, enter the amount of bond premium amortization allocable to the interest paid during the tax year, unless you were notified in writing that the holder did not want to amortize bond premium under section 171. See Regulations sections 1.6045-1(n)(5) and 1.6049-9(b). If you are required to report bond premium amortization and you reported a net amount of interest in box 1, leave this box blank.
Box 12. Bond Premium on U.S. Treasury Obligations
For a U.S. Treasury obligation that is a covered security, enter the amount of bond premium amortization allocable to the interest paid during the tax year, unless you were notified in writing that the holder did not want to amortize bond premium under section 171. See Regulations sections 1.6045-1(n)(5) and 1.6049-9(b). If you are required to report bond premium amortization and you reported a net amount of interest in box 3, leave this box blank.
Box 13. Bond Premium on Tax-Exempt Bond
For a tax-exempt covered security acquired at a premium, enter the amount of bond premium amortization allocable to the interest paid during the tax year. If you reported a net amount of interest in box 8 or 9, whichever is applicable, leave this box blank.
Box 14. Tax-Exempt and Tax Credit Bond CUSIP No.
For single bonds or accounts containing a single bond, enter the CUSIP number of the tax-exempt bond for which tax-exempt interest is reported in box 8 or tax credit bond (including build America bond and specified tax credit bond) for which a tax credit or taxable interest, as applicable, is reported in box 1. Enter the CUSIP number of the bond for which interest was paid or tax credit was allowed. If the tax-exempt interest or the tax credit is reported in the aggregate for multiple bonds or accounts, enter “various.”
Boxes 15–17. State Information
These boxes may be used by payers who participate in the Combined Federal/State Filing Program and/or who are required to file paper copies of this form with a state tax department. See Publication 1220 for more information regarding the Combined Federal/State Filing Program. They are provided for your convenience only and need not be completed for the IRS. Use the state information boxes to report payments for up to two states. Keep the information for each state separated by the dash line. If you withheld state income tax on this payment, you may enter it in box 17. In box 15, enter the abbreviated name of the state, and in box 16, enter the payer’s state identification number. The state number is the payer’s identification number assigned by the individual state.
If a state tax department requires that you send them a paper copy of this form, use Copy 1 to provide information to the state tax department. Give Copy 2 to the recipient for use in filing the recipient’s state income tax return.
Rules for Widely Held Fixed Investment Trusts (WHFITs) Trustees and middlemen must report the gross amount of interest attributable to the TIH for the calendar year on
Form 1099-INT if that amount exceeds $10. If the trustee provides WHFIT information using the safe harbor rules in Regulations section 1.671-5(f)(1) or (g)(1), the trustee or middleman must determine the amounts reported on Form 1099-INT under Regulations section 1.671-5(f)(2) or (g)(2), as appropriate.
Requirement to furnish a tax information statement to the TIH. A tax information statement that includes the information provided to the IRS on Form 1099-INT, as well as additional information identified in Regulations section 1.671-5(e) must be provided to TIHs. The written tax information statement must be furnished to the TIH by
March 15. The amount of an item of a trust expense that is attributable to a TIH must be included on the tax information statement provided to the TIH and is not required to be included in box 5 on the
Form 1099-INT.
