Bank account interest is money that is paid to you for having an
account at a bank. This usually applies
more to savings accounts than checking accounts. The bank will credit your account with extra
money based on the amount of money in your account.
If you are getting interest, it will be reported on your bank
statements. If you receive more than $10
during the year, then the bank is required to send you a Form 1099-INT showing
the amount of interest that you have accumulated for the year. This is then included as income on your tax
return. If you are getting interest, but
it is less than $10, you are still required to report it even though you
probably will not receive a Form 1099-INT showing the amount.
If you have a bank account and you’re not sure if you are getting
interest, you should contact your bank for more information. Then you will know whether you need to include it on your return or not.
