Annually Reporting I Bond Interest - No 1099

[mnsportsgeek]

I would like to start reporting interest on my I Bonds annually. I'm basically treating them as a portion of my emergency fund, and I don't want to be hit with a big tax bill if I ever withdraw them.

How do I do this in Turbo Tax? Since I won't have a 1099-INT. Do I just fill out a "dummy" 1099-INT?

If I'm supposed do that approach, what do I put for "FEIN" and "Received From"?

Last Question, which box does interest income from an I Bond go in on the 1099? Box 1 or Box 3?

[Anonymous_]

https://www.treasurydirect.gov/savings-bonds/tax-information-ee-i-bonds

[SteamTrain]

I Really do not recommend doing that.

But if you do you will need to create a spreadsheet yourself, to scrupulously record the value of each i-bond at the end of each year...and calculate the interest accrued for just that year.

Yes, a manually-entered 1099=-INT is needed

1)  You don't enter an FEIN.  Look for the button labeled something like "Type it in Myself"

2)  Provider is "US Treasury"

3)  $$ go into Box 3.

_________________________

[mnsportsgeek]

@Anonymous_ Thank you. I’m familiar with the IRS rules behind this. I’m more asking about how to do this in turbo tax. Turbo tax does not let me submit a 1099-INT without the FEIN it gives an error saying “attention required”

[mnsportsgeek]

@SteamTrain TurboTax says “attention required” if I submit a 1099 without the FEIN. Will it allow me to proceed through filing like this? Or is it gonna make me go back and enter an FEIN?

[Anonymous_]

You don't have to enter an EIN for the interest (see screenshot). 

[Anonymous_]

@mnsportsgeek Also, don't forget to indicate that the interest is not subject to state income tax (if your state otherwise imposes a state income tax).

[mnsportsgeek]

@Anonymous_ Unfortunately mine looks different. I'm using TT Online Premier

[SteamTrain · Accepted solution]

@mnsportsgeek 

Don't know with your issues will be with that. (Looks like you tried to import the 1099-INT)

You are using the "Online" software?  Yeah?

______________________

Maybe...Go back to the interest area and delete that particular 1099-INT

Then start a new one.

1) "Add Investments"

2)  Don't enter anything on the import page, click on the button "Add a different way".

3)  Select the Interest box and "Continue"

4) Select "Type it in Myself"

5)  Enter in the Received from box....."US Treasury."

6) Enter the $$ in box 3 & "Continue" on out thru the following pages to the main Wages&Income page  

No FEIN needed...and no error or review for that form when I went thru the "Online" Federal checks.

[mnsportsgeek]

@SteamTrain Ok thank you. I will try to run it through without the FEIN once my return is ready and see if it gets kicked back. Yes, I am using TurboTax online.