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1099 Decoder: A Guide for Tax Season

February 21, 2024

Posted in Tax

It’s the time of year when our electronic and physical mailboxes are flooded with tax forms. If you receive any type of income from investments, dividends, education savings plans, or contract work, you’re likely familiar with the IRS Form 1099.

A 1099 form is a document used by the IRS to report various types of income other than wages, salaries and tips (which are reported on a W-2 form by traditional employers.) The 1099 form comes in several types, each designated for different types of income. Below we share the most common types of 1099 forms, what type of income to report, and when to expect the form so you are prepared.

Common Forms 1099
Form NameWhat It ShowsWhen You Should Expect It
Form 1099-INTInterest income if you earned more than $10 in interest.Issued by January 31
Form 1099-DIVDividend income from dividends and distributions from stocks or mutual funds.May be delayed until March.
Form 1099-BIncome and transactions related to the sale of securities from a broker and includes date of sale, the proceeds from the sale, and the cost basis of the securities.May be delayed until March.
Form 1099-GPayment from federal, state, or local government resources including tax refunds and unemployment benefits.Issued in January.
Form 1099-MISCMiscellaneous Income of more than $600 from freelance and independent contract work, earnings from rent, royalties, or any other miscellaneous work.Issued by January 31.
Form 1099-KPayment Card and Third-Party Network Transactions such as Venmo and Paypal.Issued by January 31.
Form 1099-NECNon-employee compensation who provides services to a business in amount more than $600.Issued by January 31.
Form 1099-QPayments from 529 Plans or other Qualified Education ProgramsIssued by January 31.
Form 1099-RDistributions more than $10 from pensions, annuities, retirement accounts, or IRAs, including early withdrawals.Issued by January 31.
Form 1099-SIncome from real estate transaction and needed for both sellers and buyers.Issued by February 15.
Form 1099-SADistributions from Health Savings Accounts or Medicare Advantage Medical Savings AccountsIssued by January 31.

Don’t forget that the IRS receives a copy of all Form 1099s, just like you. If you forget to include one in your filing, you’ll likely receive a letter asking you to account for the funds you neglected to include, so it’s important to keep track and report things accurately.

If you’re unclear on which Form 1099s you might receive, why, or how they are impacting your taxes and overall financial picture, don’t hesitate to reach out.


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