Turbo tax calculator8/18/2023 ![]() You owe tax on the interest the bond earns after it was reissued.įor electronic savings bonds in TreasuryDirect You are the new owner of a reissued bond. You owe tax on the interest the bond earned until it was reissued. ![]() ![]() You and your spouse each report one-half of the interest You and your spouse live in a community property state and buy a bond that is community property and you file separate federal income tax returns You and the other person must each report the interest in proportion to how much you each paid for the bond You and another person buy a bond together, each putting in part of the money to buy the bond, and you are both named as co-owners The person who is named as the owner (not you) You buy the bond but someone else is named as the only owner (for example, your child) You use your money to buy a bond that you put in your name with a co-owner Who owes the tax? If ownership has not changed Situation If you are reporting the interest on bonds another person owns (for example, the interest on your child's bonds), you report that on the other person's federal income tax return with other interest income that person has earned. ![]() Interest from your bonds goes on your federal income tax return on the same line with other interest income. Where do I list the interest on my tax return? You must fill out IRS Form 3115 or follow the instructions in IRS Publication 550 in the section on U.S. You can change from one reporting method to the other. For instructions on how to tell the IRS that you already reported some or all of that interest in earlier years, go to IRS Publication 550 and look for the section on U.S. When you get the 1099-INT at the end, it will show all the interest the bond earned over the years. If the savings bonds are on paper, our Savings Bond Calculator can help you figure out the interest to report.If the savings bonds are in a TreasuryDirect account, you can see the interest earned each year in the account.The child may be paying taxes at a lower rate than will be true years later when the bond matures.īut you will not get a 1099-INT every year. For example, you may find it advantageous to report interest every year on savings bonds in a child's name. You may choose to report the interest every year. NOTE: Your "Taxable Transaction Summary" is NOT your 1099. Near the top of your "Taxable Transaction Summary", choose the link to view your 1099.Under "Manage My Taxes", choose the relevant year.If your bonds are in your TreasuryDirect account, your 1099-INT is available early the next year in your account.If a financial institution pays the bond, you get a 1099-INT from that financial institution either soon after you cash your bond or by January 31 of the following year.(INT stands for "interest." The 1099-INT tells you how much interest the bond earned.) You get a Form 1099-INT for the year in which you get the interest. Most people put off reporting the interest until they actually get it. report the interest each year even though you don't actually get the interest then. ![]()
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