Form 1099-DIV, Dividends and Distributions is an Internal Revenue Service (IRS) form that banks and other financial institutions provide to investors who receive dividends and distributions from any type of investment during a calendar year. Investors must report the information from each 1099-DIV on their annual tax filing.
What is Form 1099-DIV?
Form 1099-DIV, Dividends and Distributions is a form sent by banks and other financial institutions to investors who receive dividends and distributions from any type of investment during a calendar year. It includes the recipient’s name, address, SSN, and other key information like the total ordinary dividends and qualified dividends. This form is only sent to investors if their cumulative dividends exceed $10. Companies provide a copy to taxpayers and to the IRS; they must do so by January 31 every year. Taxpayers can report the information found on Form 1099-DIV either on a Schedule B form or directly on Form 1040. Knowing how to file this form correctly is key for successful compliance with the IRS.
IRS Form 1099-DIV – Who Needs to Fill It Out?
Form 1099-DIV, Dividends and Distributions is a form required by the IRS for investors who receive dividends or distributions from any type of investment during a calendar year. Banks, investment companies, and other financial institutions must provide this form to you and to the IRS by January 31 every year if cumulative dividends are greater than $10. You can report the information found on Form 1099-DIV on Schedule B or on Form 1040 directly in order to satisfy IRS tax filing requirements. Exempt accounts do not require this form and investors may also be subject to Foreign Account Tax Compliance Act (FATCA) filing requirements for foreign accounts.
Step-by-Step: Form 1099-DIV Instructions For Filling Out the Document
Filling out the Form 1099-DIV, Dividends and Distributions is a straightforward process. Banks, investment companies, and other financial institutions are required to provide taxpayers with a 1099-DIV by January 31st each year. The form includes the recipient’s name, address, and Social Security Number, as well as the payer’s name, address, and identification number. Recipients should use the information from the 1099-DIV to report their income on their tax form; whether that be on a Schedule B form or directly on Form 1040, depending on the total amount of taxable interest and/or ordinary dividends received. Finally, the Form 1099-DIV can be found on the IRS website for download and documentation.
Below, we present a table that will help you understand how to fill out Form 1099-DIV.
|Information Required for Form 1099-DIV||Details|
|Recipient’s Name||Full name of the recipient|
|Recipient’s Address||Current mailing address of the recipient|
|Recipient’s Social Security Number||Unique identification number of the recipient|
|Payer’s Name||Name of the financial institution or payer|
|Payer’s Address||Address of the financial institution or payer|
|Payer’s Identification Number||Identification number of the financial institution or payer|
|Taxable Interest and/or Ordinary Dividends||Details of taxable interest and/or ordinary dividends received|
Do You Need to File Form 1099-DIV Each Year?
Financial institutions must provide each taxpayer with a 1099-DIV form by January 31st of each year if they received dividends and/or distributions greater than $10 during the previous calendar year. Those filing this information must then file it either on Schedule B or directly on Form 1040. Exemptions exist for certain types of accounts, such as IRAs and certain retirement accounts. All taxpayers eligible to receive a 1099-DIV form should make sure they do so to ensure the accuracy of their taxable income.
Download the official IRS Form 1099-DIV PDF
On the official IRS website, you will find a link to download Form 1099-DIV, Dividends and Distributions. However, to make it easier for you, we are providing the link in our article, which comes directly from the official irs.gov website! Click to download: Form 1099-DIV