You may still need to report interest or dividend income on your tax return even if you don't receive a Form 1099-INT, Form 1099-DIV, or Form 1099-OID.
Financial institutions are generally required to issue these forms only when certain reporting thresholds are met. As a result, you may earn interest or dividends during the year without receiving a tax form. However, the income may still be taxable and must be reported on your federal tax return. If you're unsure whether you earned any interest or dividend income, review your account statements or contact your bank, brokerage firm, credit union, or other financial institution for assistance.
Common Situations Where You May Not Receive a Form
You might not receive a 1099 form if:
- The amount of interest or dividends earned was below the institution's reporting threshold.
- The account was opened or closed during the year.
- The income was earned through a type of investment that reports information differently.
- The form was lost, delayed, or made available electronically instead of by mail.
Even if no form is issued, you're still responsible for reporting all taxable income earned during the tax year.
Why Is It Important to Report the Income?
The IRS requires taxpayers to report all taxable income, regardless of whether a tax form was received. Reporting your interest and dividend income accurately helps:
- Avoid IRS notices and income mismatch issues
- Ensure your tax return is complete
- Reduce the likelihood of penalties or additional tax assessments
- Keep your tax records accurate