1099-INT for a treasury bond?

[uschles]

Hi all,

In 2023, I got a few CDs from Citi. I also got a treasury bond.

Yesterday I started doing my taxes. I got a 1099-INT from Citi. It lists the interest rate for all the CDs.
That said, it doesn't include any of the income from the treasury bond.
My banker said something along the lines of that income is not taxable, but when I Googled it, it seems it is still taxable at the federal level even if not at the state/local level.

I have two questions and would be very grateful for any pointers:

First, shouldn't I receive a 1099-INT for the treasury bond? I'm guessing I haven't received it because that comes from a 'brokerage account' which is technically separate. However, when I go to the document center, there is no 1099-INT form. I do have a document called '2023 TAX and YEAR-END STATEMENT' and if I dig deep inside the document, I find a section with 4 boxes:
- Summary of Form 1099-B
- 2023 1099-Div (with all the boxes with $0)
- 2023 Summary of Form 1099-OID
- 2023 1099-INT (with box 1 marked as 'Interest Income' for $0.32, and Box 3 with the real interest income I got which is labelled 'Interest on U.S. Saving Bonds & Treasury Obligations', Box 4 with 'Federal Income Tax Withheld' of $0).

Second, can I assume the box is a 1099-INT form? I'm not sure how to enter it though since it's a bond income and box 1 only includes a fraction of the actual interest I got.

I'm really not sure how to handle this correctly and would be very grateful for any pointers.

Many thanks

[LindaS5247]

If you have interest income of at least $10, you'll usually receive a Form 1099-INT.  It's not required to send a Form 1099-INT if it is less than $10, but it is required to report all interest income on your tax return. 

 You are correct your interest on your your U.S. Treasury bonds is taxable but only at the federal level, not the state.

Some financial institutions do provide documents combined in this manner.  Interest income for Treasury Bonds is usually reported in Box 3 of your Form 1099-INT.

After the end of the tax year, your financial institution should send you a Form 1099-INT reporting all the taxable and tax-exempt interest you received during the year. Typically, interest on corporate bonds will be in Box 1. Interest from U.S. Treasuries will be in Box 3, and tax-exempt interest from municipal bonds will be in Box 8.

If you are unsure if your 1099-INT information is accurate or if it is lacking some information, you can contact your financial institution to address your concerns.

To enter your interest income without your form, you will enter it in the interest section of your TurboTax Program.

For TurboTax Online:

1. Search 1099-INT or 1099INT (lowercase also works).
2. Select the Jump to link.
3. Answer "Yes" to "Did you have any interest income?"
   • If you see "Your investments and savings", select "Add investments" or select Edit next to the correct 1099-INT.
4. Select "Enter a different way" on the "Let's import your tax info" screen
5. Select "Interest 1099-INT" and Continue.
6. Select "Type it in myself".
7. Input your information and select Continue.
8. At "Do any of these uncommon situations apply?", select your answer and then 
9. Select Continue.

It will look like this:

Click here for "What if I Didn't Get a Form 1099-INT?" This also has directions for TurboTax Desktop users.

Click here for information on entering Form 1099-IINT.

Click here for additional information on investment bonds.

If your bonds are in a treasurydirect account, your 1099-INT form should be available in your account by January 31 of 2024.

Click here for information on Treasury Direct.

Please feel free to come back to TurboTax Community with additional information or questions or click here for help in contacting Turbo Tax Support. 

[uschles]

Thank you, this is really helpful!

It sounds like I should dig through the '2023 TAX and YEAR-END STATEMENT' document and use the Form 1099-INT details that's inside. I wasn't aware I can do this - I thought all tax documents should be titled '1099-INT'.
In my case the information is in Box 3. It sounds like TurboTax should be smart enough to know it's taxable only at the federal level but not at the state level.

[VolvoGirl]

Your brokerage account tax statement is a consolidated statement. That will have sections for 1099-Int and 1099-Div and 1099B. You need to enter each section in the right place.  So read it carefully and look for headings.... 1099-INT for interest or 1099-DIV for Dividends or 1099B for sales.  

To enter 1099INT box 3,  You have to check the little box under box 1 that says my form has more boxes for it to open up.

[uschles]

Thank you - I appreciate the help!