Instructions For Forms 1099-Int And 1099-Oid

by a non-U.S. payer or non-U.S. middleman, certain

If you are required to report the amount of bond

portfolio interest, interest on an obligation issued by an

premium amortization allocable to an interest payment,

international organization and paid by that organization,

you may report either (1) a net amount of interest that

and payments made to a foreign beneficial owner or

reflects the offset of the interest payment by the amount of

foreign payee. See Regulations section 1.6049-5 for more

bond premium amortization allocable to the interest

information.

payment, or (2) a gross amount for both the interest

payment and the bond premium amortization allocable to

Other exception. Do not report tax-deferred interest,

the interest payment. For example, if a taxpayer receives

such as interest that is earned but not distributed from an

$20 of taxable interest from a corporate bond and the

IRA.

amount of bond premium amortization allocable to the

When is a payment made? Generally, interest is paid

interest is $2, you may report $18 of interest income in

when it is credited or set apart for a person without any

box 1 and $0 in box 11, or you may report $20 of interest

substantial limitation or restriction as to the time, manner,

income in box 1 and $2 in box 11. For a noncovered

or condition of payment. The interest must be made

security acquired with bond premium, you are only

available so that it may be drawn on at any time and its

required to report the gross amount of interest.

receipt brought within the control and disposition of the

Statements to recipients. If you are required to file

person.

Form 1099-INT, you must furnish a statement to the

For payments made on obligations subject to

recipient. For more information about the requirement to

transactional reporting (for example, savings bonds,

furnish an official form or acceptable substitute statement

interest coupons, and other demand obligations), interest

to recipients, see part M in the 2018 General Instructions

is paid at the time the obligation is presented for payment.

for Certain Information Returns. If you have furnished

For example, interest on a coupon detached from a bond

Forms 1099-INT to a recipient for amounts received

is paid when it is presented for payment.

during the year at the time of the transactions, such as you

For rules regarding when interest earned by a trust

might have done for window transactions, do not include

interest holder (TIH) in a widely held fixed investment trust

these same amounts in a Form 1099-INT furnished to the

(WHFIT) is reportable, see Regulations section 1.671-5.

same recipient for other payments during the year.

A credit allowed from tax credit bonds reportable on

Truncating recipient’s TIN. Pursuant to Regulations

Form 1099-INT is treated as paid on the credit allowance

section 301.6109-4, all filers of Form 1099-INT may

date. For information on credit allowance dates, see

truncate a recipient’s TIN (social security number (SSN),

Interest to holders of tax credit bonds under Box 1.

individual taxpayer identification number (ITIN), adoption

Interest Income, later.

taxpayer identification number (ATIN), or employer

Reporting interest and OID. If you are reporting

identification number (EIN)) on payee statements.

qualified stated interest and OID on any obligation that is

Truncation is not allowed on any documents the filer files

not a specified private activity bond, you may report both

with the IRS. A payer's TIN may not be truncated on any

the qualified stated interest and the OID on Form

form. See part J in the 2018 General Instructions for

1099-OID. It is not necessary to file both Forms 1099-INT

Certain Information Returns.

and 1099-OID. On Form 1099-OID, report the qualified

Account number. The account number is required if you

stated interest in box 2 and the OID in box 1, 8, or 11, as

have multiple accounts for a recipient for whom you are

applicable. However, you may choose to report the

filing more than one Form 1099-INT. The account number

qualified stated interest on Form 1099-INT and the OID on

is also required if you check the “FATCA filing

Form 1099-OID. For a specified private activity bond with

requirement” box. See FATCA filing requirement check

OID, report the tax-exempt OID in box 11 on Form

box, later. Additionally, the IRS encourages you to

1099-OID and the tax-exempt stated interest in boxes 8

designate an account number for all Forms 1099-INT that

and 9 on Form 1099-INT.

you file. See part L in the 2018 General Instructions for

Reporting interest and bond premium. For a covered

Certain Information Returns.

security acquired with bond premium, you must report the

FATCA filing requirement check box. Check the box if

amount of bond premium amortization for the tax year.

you are a U.S. payer that is reporting on Form(s) 1099

See Regulations section 1.6045-1(a)(15) to determine if a

(including reporting payments in boxes 1, 3, 8, 9, and 10

debt instrument is a covered security. However, in the

on this Form 1099-INT) as part of satisfying your

case of a taxable bond, if you have been notified by the

requirement to report with respect to a U.S. account for

taxpayer that the taxpayer does not elect to amortize bond

chapter 4 purposes as described in Regulations section

premium, you must not report any amount of bond

1.1471-4(d)(2)(iii)(A). In addition, check the box if you are

premium amortization. See Regulations section

an FFI reporting payments to a U.S. account pursuant to

1.6045-1(n)(5).

an election described in Regulations section 1.1471-4(d)

For a covered security acquired with OID and bond

(5)(i)(A).

premium, if you choose to report qualified stated interest

2nd TIN not. You may enter an “X” in this box if you were

in box 2 of Form 1099-OID, you must report any bond

notified by the IRS twice within 3 calendar years that the

premium amortization on that security in box 10 of Form

payee provided an incorrect TIN. If you mark this box, the

1099-OID. You may not report the qualified stated interest

IRS will not send you any further notices about this

on Form 1099-OID and the bond premium amortization

account.

allocable to the interest on Form 1099-INT.

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Instructions for Forms 1099-INT and 1099-OID (2018)

Instructions For Forms 1099-Int And 1099-Oid - 2018 Page 2

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