Tax question

[raammartin]

I myself just have a small savings account that I put money in for whatever. I got the 1099 INT form in the mail today and I earned a whopping $76 last year on it. Per tax laws is there an amount at which I don't have to claim that interest (ie, *I made this up* less than $200 in interest earned don't claim on taxes)?

I'm not very tax savvy.

 

[Bob Slydell]

Do you have other sources of income? If so, then yes, you do have to claim it along with your other income. If that's the extent of your income, then no, you don't have to file taxes at all.

 

[1Prince2Princesses]

Nope. You have to claim it all. Sorry!

 

[Cheshire Figment]

"All income, from all sources, unless exempted by law is taxable under this Code". That is the first sentence of the law which set up the Income Tax.

Payers of wages must provide a W-2 for any income.

Payers of Interest or Dividends must provide a 1099-INT or 1099-DIV if the amount is $10.00 to recipients and that information to IRS.

Other payers must provide various other 1099s or similar forms when certain thresholds are met, to recipients and that information to IRS.

There is nothing prohibiting the issuance of reporting forms (and the related reporting to IRS) if the amount is less than the reporting minimum.

In other words, you have to include it on your tax forms.

Mike (CPA, Retired)

 

[raammartin]

I knew you smart people would help me out.

Thanks!