Form 1099 (interest income) from IRS?? [revised]

[Wade]

I have a "form 1099" saying they are reporting interest
income of $177.36, I am not sure who it is from.

It only says at the top:
"Payer: 38-1798424
U.S. Treasury Department
Internal Revenue Service
Andover, MA 05501"

At the bottom it says:
"This information is being furnished to the appropriate
department of the Internal Revenue Service. The amount of
interest paid or credited to you in the calendar year shown
is on an overpayment of federal tax... It may have been paid
with your tax refund or by separate check..."

I did get a really big refund last year.
CORRECTION - The big refund was in 2001; I paid in 2002.
Sorry. I have no idea what this might represent.

<< ------------------------------------------------->>
<< The Charter and the Guidelines for submitting >>
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[Phil Marti]

"Wade" <wlip...@yahoo.com> writes:

> I have a "form 1099" saying they are reporting interest
> income of $177.36, I am not sure who it is from.
>
> It only says at the top:
> "Payer: 38-1798424
> U.S. Treasury Department
> Internal Revenue Service
> Andover, MA 05501"

They're saying that they paid you interest on a refund last
year. This can happen because they're late in processing or
because there was a reduction in tax for a prior year.
Check your records.

Phil Marti
Topeka, KS

[Rich Carreiro]

"Wade" <wlip...@yahoo.com> writes:

> I have a "form 1099" saying they are reporting interest
> income of $177.36, I am not sure who it is from.
>
> It only says at the top:
> "Payer: 38-1798424
> U.S. Treasury Department
> Internal Revenue Service
> Andover, MA 05501"

It's from the IRS/US Treasury, as stated.

> At the bottom it says:
> "This information is being furnished to the appropriate
> department of the Internal Revenue Service. The amount of
> interest paid or credited to you in the calendar year shown
> is on an overpayment of federal tax... It may have been paid
> with your tax refund or by separate check..."

I'm not sure what we can add to that. The statement is
pretty straightforward.

> I did get a really big refund last year.
> CORRECTION - The big refund was in 2001; I paid in 2002.
> Sorry. I have no idea what this might represent.

It represents interest the IRS paid you because it took
longer than it was supposed to in issuing your refund.

And before you ask :-), it is fully taxable just like any
other interest paid by the US govt.

--
Rich Carreiro rlc...@animato.arlington.ma.us
"Home is where you wear your hat." "Character is what you are in the dark."

[dlwood62]

"Wade" <wlip...@yahoo.com> wrote:

> I have a "form 1099" saying they are reporting interest
> income of $177.36, I am not sure who it is from.
>
> It only says at the top:
> "Payer: 38-1798424
> U.S. Treasury Department
> Internal Revenue Service
> Andover, MA 05501"
>
> At the bottom it says:
> "This information is being furnished to the appropriate
> department of the Internal Revenue Service. The amount of
> interest paid or credited to you in the calendar year shown
> is on an overpayment of federal tax... It may have been paid
> with your tax refund or by separate check..."
>
> I did get a really big refund last year.
> CORRECTION - The big refund was in 2001; I paid in 2002.
> Sorry. I have no idea what this might represent.

One if my clients also had that kind of 1099 -- it has the
same tax id as yours but it also states what year the
intrest was paid for- in their case 2001. I know that their
intrest was paid for a previous year that they filed a 1040X
for and received intrest for their overpayment.

[bwa]

> I did get a really big refund last year.
> CORRECTION - The big refund was in 2001; I paid in 2002.
> Sorry. I have no idea what this might represent.

If you received a big refund FOR 2001, it would have been
PAID to you in 2002. If paid late, it would have included
interest. Could that be what it is for?

[Wade]

Thanks all for your help.

The form says "Calendar Year 2002". I knew I didn't have
anything in 2002, so I called the IRS.

After only a 5 minute wait they told me it was interest on a
late refund in 2000 cause by an amended return. I don't
remember any interest, but there was an amended return, so I
guess I am set.

[btat3808]

If you filed for a phone federal excise tax refund, check your 2006 return
Form 8913. This is probably the interest compounded on your phone federal
excise tax refund March 2003 thru July 2006. They get you coming and
going.

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[bvit...@yahoo.com]

On Jan 13, 1:14 pm, "btat3808" <btat9...@yahoo.com> wrote:
> If you filed for a phone federal excise tax refund, check your 2006 return
> Form 8913. This is probably the interest compounded on your phone federal
> excise tax refund March 2003 thru July 2006. They get you coming and
> going.
>
> --
> Message posted usinghttp://www.talkabouttaxes.com/group/misc.taxes.moderated/

> More information athttp://www.talkabouttaxes.com/faq.html

>
> --
> << ------------------------------------------------------- >>
> << The foregoing was not intended or written to be used,   >>
> << nor can it used, for the purpose of avoiding penalties  >>
> << that may be imposed upon the taxpayer.                  >>
> <<                                                         >>
> <<   The Charter and the Guidelines for submitting posts   >>
> <<  to this newsgroup as well as our anti-spamming policy  >>
> <<                  are atwww.asktax.org.                 >>
> <<         Copyright (2007) - All rights reserved.         >>
> << ------------------------------------------------------- >>

I just checked my 2006 tax return and sure enough the crytic 1099 form
from the IRS was
exactly the amount calculated as interest for my telephone excise tax
refund on Form 8913.

[Stuart Bronstein]

wrote:

> I just checked my 2006 tax return and sure enough the crytic 1099
> form from the IRS was
> exactly the amount calculated as interest for my telephone excise
> tax refund on Form 8913.

It just struck me, but why in the world would they send a 1099? Isn't
the purpose to notify the IRS? Don't they know already?

Or is it just their way of saying "gocha"? I wonder if what they'll
recover in tax on those interest charges will be greater than the costs
of creating and sending all those 1099.

Stu

[Harlan Lunsford]

Stuart Bronstein wrote:
> wrote:
>
>> I just checked my 2006 tax return and sure enough the crytic 1099
>> form from the IRS was
>> exactly the amount calculated as interest for my telephone excise
>> tax refund on Form 8913.
>
> It just struck me, but why in the world would they send a 1099? Isn't
> the purpose to notify the IRS? Don't they know already?
>
> Or is it just their way of saying "gocha"? I wonder if what they'll
> recover in tax on those interest charges will be greater than the costs
> of creating and sending all those 1099.

Sure they already know it, so the real purpose is to let you know that
they know it! ifyougetmydrift.

ChEAr$,
Harlan

[viki...@gmail.com]

On Jan 16, 3:51 pm, Harlan Lunsford <hnslunsf...@bellsouth.net> wrote:
> Sure they already know it, so the real purpose is to let you know that
> they know it!  ifyougetmydrift.

If that's the case, why not simply put a line on the tax form to add
the interest to your income above the line?

[ops...@gmail.com]

I receved one of these and was just wondering how to claim it. Would
it just be like a 1099-Int?

[Arthur Kamlet]

In article <4e873d64-f1ad-4993...@d5g2000hsc.googlegroups.com>,

<ops...@gmail.com> wrote:
>I receved one of these and was just wondering how to claim it. Would
>it just be like a 1099-Int?

Yes, is this a trick question?

I assume the IRS refunded some tax and paid you interest?
--

ArtKamlet at a o l dot c o m Columbus OH K2PZH

[k.di...@gmail.com]

> <ops...@gmail.com> wrote:
> >I receved one of these and was just wondering how to claim it. Would
> >it just be like a 1099-Int?
>
> Yes, is this a trick question?
>
> I assume the IRS refunded some tax and paid you interest?

I think the question is if this should be treated the same as a 1099-
Int versus a 1099-G or a 1099-R or whatever. The form I received
simply says 1099 and doesn't specify beyond that.

[Santa]

I received a 1099 for $13.09 bases upon a refund (interest they earned
while they sat on my money). I just discovered this document, and I've
already filed my 07 taxes. If I get audited, I'm goint to just tell
them that "I'm sitting on it" and that "I'll gladly pay them interest
on the $13" but thell get a 1099 from me".

========================================= MODERATOR'S COMMENT:
Please delete unnecessary text from the prior message when responding.

[WorkinMan]

I also received one of these forms and like you, "k.di...@gmail.com" and it simply says "1099 (Rev. 9-07)" vertically along the left side of the top left box with no specification as to what kind of 1099 it was to be considered.

In the top left box, it says "Statement for Recipients of 'Interest Income' (Please keep this copy for your records)".

So, I'd like to ask without the sarcasm, I ask the same question "ops...@gmail.com" asked above, "Would it just be like a 1099-INT?"

Why in God's name would the IRS of ALL organizations not designate what type of 1099 it is? Is the "Interest Income" supposed to make one presume it is a 1099-INT? I'd like to get this right the first time as, yes, we were audited last year over something incredibly stupid as we followed all the rules/laws/code and we would like this issue to NOT us to be audited again. We were right and they held back our refund as a result.

So, we received interest on the refund as it was their mistake to hold back our money. I liken the experience to a rectal exam given by a med student with ADHD!

Any and all helpful responses are welcome.

Thank you!

--
<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>

<< Copyright (2011) - All rights reserved. >>
<< ------------------------------------------------------- >>

[Arthur Kamlet]

In article <c78b680d-7094-439b...@googlegroups.com>,

WorkinMan <jim.wi...@gmail.com> wrote:
>On Tuesday, March 4, 2008 10:30:13 PM UTC-5, k.di...@gmail.com wrote:
>> > <ops...@gmail.com> wrote:
>> > >I receved one of these and was just wondering how to claim it. Would
>> > >it just be like a 1099-Int?
>> >
>> > Yes, is this a trick question?
>> >
>> > I assume the IRS refunded some tax and paid you interest?
>>
>> I think the question is if this should be treated the same as a 1099-
>> Int versus a 1099-G or a 1099-R or whatever. The form I received
>> simply says 1099 and doesn't specify beyond that.
>>

>I also received one of these forms and like you, "k.di...@gmail.com" and
>it simply says "1099 (Rev. 9-07)" vertically along the left side of the
>top left box with no specification as to what kind of 1099 it was to be
>considered.
>
>In the top left box, it says "Statement for Recipients of 'Interest
>Income' (Please keep this copy for your records)".
>
>So, I'd like to ask without the sarcasm, I ask the same question
>"ops...@gmail.com" asked above, "Would it just be like a 1099-INT?"
>
>Why in God's name would the IRS of ALL organizations not designate what
>type of 1099 it is? Is the "Interest Income" supposed to make one
>presume it is a 1099-INT? I'd like to get this right the first time as,
>yes, we were audited last year over something incredibly stupid as we
>followed all the rules/laws/code and we would like this issue to NOT us
>to be audited again. We were right and they held back our refund as a
>result.
>
>So, we received interest on the refund as it was their mistake to hold
>back our money. I liken the experience to a rectal exam given by a med
>student with ADHD!
>
>Any and all helpful responses are welcome.

A good answer to tax questions starting with "Why" is "Because."


The US Govt's Office of Personnel Management issues a for CSA-1099
or similar, which they use in place of a 1099-R to report pension
income.


The IRS form equivalent to a 1099-INT is simple compared to the
CSA-1099 thingie.

And for economy, look at the Railroad Retirement Board's RRB1099
or similar form. It's really two forms in one, which they call
Tier I and Tier II. Tier I corresponds to Social Security
benefits for line 20 and Tier II corresponds to pension benefits
for line 16. And both are excluded from your state's income tax.


Trivia: Did you know that once upon a time the Railroad Retirement
Board issued what we now call Social Security Numbers to their
employees. They look and feel like SSNs but begin with a 7.


Which reminds me, I had a client with brand new baby last week,
with an SSN starting with 8.

--

ArtKamlet at a o l dot c o m Columbus OH K2PZH

[Alan]

On 2/16/13 9:14 PM, Arthur Kamlet wrote:

>
> Which reminds me, I had a client with brand new baby last week,
> with an SSN starting with 8.
>
>

From SSA:

Social Security Number Randomization
The Social Security Administration (SSA) changed the way Social Security
Numbers (SSNs) are issued on June 25, 2011. This change is referred to
as "randomization." The SSA developed this new method to help protect
the integrity of the SSN. SSN Randomization will also extend the
longevity of the nine-digit SSN nationwide.

The SSA began assigning the nine-digit SSN in 1936 for the purpose of
tracking workers' earnings over the course of their lifetimes to pay
benefits. Since its inception, the SSN has always been comprised of the
three-digit area number, followed by the two-digit group number, and
ending with the four-digit serial number. Since 1972, the SSA has issued
Social Security cards centrally and the area number reflected the state,
as determined by the ZIP code in the mailing address of the application.

There are approximately 420 million numbers available for assignment.
However, the previous SSN assignment process limited the number of SSNs
available for issuance to individuals by each state. Changing the
assignment methodology extended the longevity of the nine digit SSN in
all states. On July 3, 2007, the SSA published its intent to randomize
the nine-digit SSN in the Federal Register Notice, Protecting the
Integrity of Social Security Numbers [Docket No. SSA 2007-0046].

SSN randomization affected the SSN assignment process in the following ways:

It eliminated the geographical significance of the first three digits of
the SSN, referred to as the area number, by no longer allocating the
area numbers for assignment to individuals in specific states.
It eliminated the significance of the highest group number and, as a
result, the High Group List is frozen in time and can only be used to
see the area and group numbers SSA issued prior to the randomization
implementation date.
Previously unassigned area numbers were introduced for assignment
excluding area numbers 000, 666 and 900-999.
These changes to the SSN may require systems and/or business process
updates to accommodate SSN randomization.

--
Alan
http://taxtopics.net

[WorkinMan]

Thanks all, and I do appreciate the trivia regarding SSNs. I used to be a pension administrator and quite often we'd have one plan which covered many states. As you may suspect, records for the employees quite often had the same SSN 1st 3 digits. I surmised that SSNs were definitely related to the participants' address at birth. In today's age though, the way people move from one location to another for work, I suspect the SSNs are a lot less common for a location of an employer.

Be that as it may, and I realize with my rambling I may have muddled the question, but, my main question was more centered around how I should treat the Form 1099 I received from the IRS. Should it be treated as a 1099-INT? It was for interest income, but, I want to make absolute sure that I'm doing this right as I'd rather avoid another audit this year.

Thank you all again for your help in advance!

WorkinMan

[Bob Sandler]

On Mon, 18 Feb 2013 17:41:45 EST, WorkinMan
<jim.wi...@gmail.com> wrote:
>my main question was more centered around how I
>should treat the Form 1099 I received from the IRS.
>Should it be treated as a 1099-INT? It was for
>interest income, but, I want to make absolute sure
>that I'm doing this right as I'd rather avoid another
>audit this year.

Yes, treat it as a Form 1099-INT with the amount of interest
in box 1.

Bob Sandler

[WorkinMan]

On Friday, March 7, 2003 6:47:43 AM UTC-5, Puffin wrote:

Thank you for the help! Onward and upward!

[denise....@gmail.com]

On Friday, March 7, 2003 6:47:43 AM UTC-5, Puffin wrote:

My husband received one of these forms too...from the same Payer's Federal Identification Number - I have no idea who it came from. I'm trying to see if I can find a lookup service for Federal ID numbers.

[Dan]

On 3/10/2013 10:42 PM, denise....@gmail.com wrote:
> On Friday, March 7, 2003 6:47:43 AM UTC-5, Puffin wrote:
>> I have a "form 1099" saying they are reporting interest
>> income of $177.36, I am not sure who it is from.
>>
>> It only says at the top:
>> "Payer: 38-1798424
>> U.S. Treasury Department
>> Internal Revenue Service
>> Andover, MA 05501"
>>
>> At the bottom it says:
>> "This information is being furnished to the appropriate
>> department of the Internal Revenue Service. The amount of
>> interest paid or credited to you in the calendar year shown
>> is on an overpayment of federal tax... It may have been paid
>> with your tax refund or by separate check..."
>>
>> I did get a really big refund last year.
>> CORRECTION - The big refund was in 2001; I paid in 2002.
>> Sorry. I have no idea what this might represent.
>>
>> << ------------------------------------------------->>
>> << The Charter and the Guidelines for submitting >>
>> << messages to this newsgroup are at www.asktax.org >>
>> << ------------------------------------------------->>
>
> My husband received one of these forms too...from the same Payer's Federal Identification Number - I have no idea who it came from. I'm trying to see if I can find a lookup service for Federal ID numbers.
>

The payer is the IRS itself. It's interest they paid on a tax refund.

/dan

[sethwalkerpoetry]

I just got this same letter... this has to be a scam

[John Levine]

In article <50ca3c97-91a8-4fb0...@googlegroups.com>,

sethwalkerpoetry <sethwalk...@gmail.com> wrote:
>On Friday, March 7, 2003 at 4:46:17 AM UTC-7, Puffin wrote:
>> I have a "form 1099" saying they are reporting interest
>> income of $177.36, I am not sure who it is from.
>> It only says at the top:
>> "Payer: 38-1798424
>> U.S. Treasury Department

>I just got this same letter... this has to be a scam

Did you get a tax refund last year? If so, it's probably real.

"Interest on individual 2019 refunds reflected on returns filed by
July 15, 2020 will generally be paid from April 15, 2020 until the
date of the refund. Interest payments may be received separately from
the refund. By law, the interest rate on both overpayment and
underpayment of tax is adjusted quarterly. The interest rate for the
second quarter, ending on June 30, 2020, is 5% per year, compounded
daily. The interest rate for the third quarter, ending September 30,
2020, is 3% per year, compounded daily."

https://www.irs.gov/newsroom/irs-statement-on-interest-payments

--
Regards,
John Levine, jo...@taugh.com, Primary Perpetrator of "The Internet for Dummies",
Please consider the environment before reading this e-mail. https://jl.ly

[ira smilovitz]

John is correct. This is interest paid on your delayed income tax refund. Ignore it at your own peril. You will receive a CP2000 document mismatch notice 6-18 months after you file your return if you leave this off your return.

Ira Smilovitz, EA
Leonia, NJ

[Danielle Schiro]

I am extremely confused still. I live abroad and received one of these letters.
Total interest paid or credited was $36.61.
I only made $3500 this past year so yesterday I was told by the IRS that I do not need to file my taxes as I don't meet the global income limit. Do I now need to file my taxes because I received this form from them?

[ira smilovitz]

Probably not. When you include this amount, are you still under the filing threshold? If so, you don't need to file.

Ira Smilovitz, EA
Leonia, NJ

[Bob Sandler]

> I am extremely confused still. I live abroad and received one of these letters.
> Total interest paid or credited was $36.61.
> I only made $3500 this past year so yesterday I was told by the IRS that I do not need to file my taxes as I don't meet the global income limit. Do I now need to file my taxes because I received this form from them?

You can use the calculator at the following link on the IRS web site to see if you are required to file a tax return.

https://www.irs.gov/help/ita/do-i-need-to-file-a-tax-return

Bob Sandler