topic Re: OID Interest in Get your taxes done using TurboTax

OID Interest

elks — Sun, 05 Apr 2020 16:48:04 GMT

I had a CD linked to the performance of International Equity Indices (SP 500, Euro Stoxx and FTSE 100) that matured in 2019. The 1099's through out the years reported OID interest that I reported as interest income every year. This CD ended up making money and the 1099 that I received reported this as a capital gain. However, none of the oid interest was deducted from the gain. Is this correct?

Re: OID Interest

RobertG — Sun, 05 Apr 2020 18:17:43 GMT

The OID interest that you reported should be added to your basis in the CD.

Re: OID Interest

elks — Sun, 05 Apr 2020 23:07:17 GMT

Thanks, but I have to wonder why the payer producing the 1099 did not report this on the 1099. They did on one where the performance was based on a basket of 10 individual stocks?

Re: OID Interest

JohnW222 — Mon, 06 Apr 2020 17:26:33 GMT

You’d have to contact the payer to ask about that. There must be a specific reason, but speculating blindly could do as much harm as good.