For federal or state taxes, are your required to report dividends or interest under $10 if you did not receive a 1099 Dividend or Interest form?
If you did not received a 1099 for an under $10 dividend or interest paymnt, you are supposed to report it and pay taxes on it anyway. But irs was not notified by payer. So its unlikely they will come after you if you fail to report it.
Paul sez: But irs was not notified by payer. So its unlikely they will come after you if you fail to report it. That's absolutely true! Still, I can't help but believe were Phil still with us he might have something cogent to say about that. May he rest in peace.Regards ... Pixy
Hey Pixy,Yup you are absolutely right on Phil's take on reporting the income ... 1099 or not! He was a real stickler for reporting ALL income received whether or not documented on a 1099. I sure do miss him :(RichArizona
Also keep in mind, they may have reported the income to IRS and not sent you a 1099 since it was under $10.00.I once had a client with over $1,000,000 in income. He was meticulous in reporting every thing. He had been audited many times. The agent and I could only figure that the computer kicked his return out because he hadn't reported $8-$9 in dividends on a stock he had gifted to a grandchild and the bank reported it under his social security number.
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