How do i report interest income on a loan to a private individual?

[redzinger]

Hello...I do not see a section under Interest and Dividends for Interest From Seller Financed Loans? Has this changed for 2024? Or is there a different way to navigate to that section? Thanks

[redzinger]

Hello...I do not see a section under Interest and Dividends for Interest From Seller Financed Loans? Has this changed for 2024? Or is there a different way to navigate to that section? Thanks

[RobertB4444]

As is detailed above by @MargaretL the interest will need to be entered as though you had received a 1099-INT from the person that you issued the loan to.

@redzinger 

[aj9987]

That seems incorrect to report this type of interest as a 1099INT 

Reporting items under 1099INT makes it subject to Net Investment Income Tax and this particular "interest" is not that type of interest 

8. What is included in Net Investment Income?

In general, investment income includes, but is not limited to: interest, dividends, capital gains, rental and royalty income, non-qualified annuities, income from businesses involved in trading of financial instruments or commodities and businesses that are passive activities to the taxpayer (within the meaning of section 469). To calculate your Net Investment Income, your investment income is reduced by certain expenses properly allocable to the income (see #13 below).
https://www.irs.gov/newsroom/questions-and-answers-on-the-net-investment-income-tax

The person lending money in this situation, who is also receiving the "interest" is not receiving the interest from a business involved in trading financial instruments or commodities. 
This "interest" income would just be reported under Misc, other reportable income. 

[gssulte7]

TT accepted my claiming the Applicable Federal Rate (AFR)  interest as income on a personal loan to a family member by his name only.  Since he is not claiming the interest as a deduction, no SSN was required.