DaveF1006
Expert Alumni

Deductions & credits

It depends. The 3520 form is informational only and does not have any taxable implications. Here you would report the full amount of $2000. 

 

Since the extra $1000 is taxable interest earned on the original principal, this is the amount you will report on your tax return. Report this as such.

 

  1. Open TurboTax: Start by opening your TurboTax software and signing in to your account.
  2. Navigate to Income Section: Go to the "Federal" section and then click on "Wages & Income."
  3. Go to Investments and Savings (1099-B, 1099-INT, 1099-DIV, 1099-K, Crypto) Interest and Dividends if using Turbo Tax Desktop
  4. Go to interest 1099 INT
  5. When it asks to import information, mention you want to enter a different way
  6. Next screen, select interest
  7. Next screen indicate you will type this in yourself.
  8. Next will ask where you received this from.  Enter provident Bank and record $1000 in Box 1.

 

 

 

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"