Message Font: Serif | Sans-Serif
No. of Recommendations: 1
My question is -- if a financial institution issues an incorrect 1099 on which income is under-reported and the taxpayer doesn't catch it, is the taxpayer then liable for penalties and interest?

Yes, but for any penalty to apply you'd have to be talking about such a large understatement that anyone except Treasury Secretary Geithner would have noticed it.

Do they not issue, or cannot you retrieve online, periodic statements showing the accrued interest on the CD? With any CD I've ever had I could easily get the information.

Rule Your Retirement Home Fool
Print the post  


In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.