Form 1099-Oid - Original Issue Discount - 2016 (Page 7 of 9) in pdf

Instructions for Recipient (Continued)

Box 9. Any amount shown is your share of investment expenses of a single-

Box 6. For a taxable covered security, shows the amount of acquisition premium

class REMIC. If you file Form 1040, you may deduct these expenses on the

amortization for the year that reduces the amount of OID that is included as

“Other expenses” line of Schedule A (Form 1040) subject to the 2% limit. This

interest on your income tax return. If an amount is reported in this box, see the

amount is included in box 2.

instructions for Form 1040 (Schedule B). If an amount is not reported in this box

for a covered security acquired with acquisition premium, the payer has reported

Box 10. For a taxable covered security, including a Treasury inflation-protected

a net amount of OID that reflects the offset of OID that is included in income. If

security, shows the amount of premium amortization allocable to the interest

the payer has reported a net amount of OID in box 1 or box 8, you must report

payment(s), unless you notified the payer in writing in accordance with

the net amount of OID on Form 1040 (Schedule B) and you must not make an

Regulations section 1.6045-1(n)(5) that you did not want to amortize bond

adjustment to this amount for acquisition premium on Form 1040 (Schedule B).

premium under section 171. If an amount is reported in this box, see the

Instructions for Form 1040 (Schedule B). If an amount is not reported in this box

Box 7. Shows the identification (CUSIP) number or description of the obligation

for a taxable covered security acquired at a premium and the payer is reporting

(may include the stock exchange, issuer, coupon rate, and year of maturity).

premium amortization, the payer has reported a net amount of interest in box 2.

Box 8. Shows OID on a U.S. Treasury obligation for the part of the year you

If the amount in this box is greater than the amount of interest paid on the

owned it. Report this amount as interest income on your federal income tax

covered security, see Regulations section 1.171-2(a)(4).

return, and see Pub. 1212 to figure any appropriate adjustments to this amount.

Box 11—13. State income tax withheld reporting.

This OID is exempt from state and local income taxes and is not included in

box 1. See the instructions above for a covered security acquired with

Future developments. For the latest information about developments related to

acquisition premium. If the number in this box is negative, it represents a

Form 1099-OID and its instructions, such as legislation enacted after they were

deflation adjustment. See Pub. 550 for further information on accounting for this

published, go to

adjustment.

Form 1099-Oid - Original Issue Discount - 2016 Page 7