The IRS instructs taxpayers to use Form 1098 to report the mortgage interest of $600 or more that they receive during their trade or business in the tax year. There are two primary purposes of this tax Form. Lenders use them to report interest payments exceeding $600 for the tax year. Homeowners use this form to calculate the total amount of interest they pay during the year. Different types of 1098 Forms and their deadlines If a...

Form 1099 is one of the most important of all IRS tax forms. It helps taxpayers prepare information return reports on different incomes generated by individuals outside their regular jobs.  Taxpayers should prepare and file 1099 Forms online within the deadline to avoid fines and penalties. There are different due dates for each of these tax Forms, such as the deadline for e-filing the returns, for paper filing of the returns, and the deadline to send the...

1099-DIV is an IRS tax Form that banks and other financial institutions predominantly use to report the dividends, and other distributions paid to the IRS and the taxpayers. A common reason for receiving Form 1099-DIV is that some investments paid dividends during the tax year. Taxpayers will not file 1099-DIV with the IRS but will need the information it reports while preparing the tax return. Specific instruction for Form 1099-DIV Form 1099-DIV is a tax document financial...

There are many different categories of the IRS 1099 forms and Form 1099-A are used to report the acquisition or abandonment of secured property. This is predominantly an information Form that is sued to report foreclosure on a property. Tax Payers will receive this Form if the mortgage lender foreclosed the property and canceled some or the entire mortgage. The mortgage lender will also send this Form if he has sold the property in a short sale. Those...

The IRS Tax Form 1099-B offers information about the securities or the property that is involved in a transaction being handled by a broker. The tax Form will render important information such as the description of the items sold, the date on which it has been sold or acquired, the cost of acquisition, etc. It also reports the federal tax withheld by the broker. Uses of Form 1099 B The IRS tax Form 1099-B deals with capital...

The IRS Form 1099s are information return forms that the taxpayer users to report income such as interest paid from banks, dividends from brokerage accounts, money generated from freelance work, unemployment benefits, etc. The deadline to mail the 1099 Forms to the taxpayers is generally January 31st. If the 1099 Form is not received, then the taxpayers are responsible for paying the taxes owed on any income earned during the tax year. And, if the taxpayer receives...

The IRS tax Form 1099-MISC is used to report miscellaneous income such as rent, prizes, healthcare payments, awards, and payments to attorneys. Before the year 2020, this tax form was used to report non-employee compensation, but from the year 2020 this was discontinued and 1099-NEC is used to report the same. Where is Form 1099-MISC used? The Tax Form 1099-MISC is used to report miscellaneous compensation such as prizes, rents, awards, etc. A taxpayer would receive this...

Taxpayers can make use of the IRS Form 1099-SA to report the distributions made from a health savings account, Medicare Advantage medical savings account, and from Archer Medical Savings account. It is important that the taxpayer file a separate return for each of the plan types. The distribution can be paid directly to an account holder or a medical service provider.   Why is Form 1099-SA important?   Distributions that are listed on Form 1099-SA are meant...