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Level 1
June 1, 2019
Question

We are dissolving a LLC - C Corp . Gave partners back initial investment and additional monies. Do we issue a 1099?

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    1 reply

    Rick19744
    Level 13
    Level 13
    June 1, 2019

    Yes.  You need to file form 1099-DIV and report the distribution as a liquidating distribution in box 9.

    https://www.irs.gov/pub/irs-pdf/f1099div.pdf

    https://www.irs.gov/pub/irs-pdf/i1099div.pdf

    *A reminder that posts in a forum such as this do not constitute tax advice.Also keep in mind the date of replies, as tax law changes.