TT has input an item under interest income that I do not recognize! By that I mean it showed up in Schedule B after I had imported my data, and I cannot see it in the paperwork I have received. TT has a "data source" feature, and it lists about 5 potential tables to check. I do not have any of them specifically.
The item does not show up in the list of forms, as do the other Schedule B items. A closer look as I write this shows it to be a UST Note. There is a long list of numbers and the words "Accrued Market Discount".
I guess that gives me a clue for further searching but does anyone have a suggestion? Interest on US Savings bonds is usually printed on the relevant 1099-INT.
Accrued market discount may be found in box 1f of an IRS form 1099-B.
Review your IRS form 1099-B entries. To view box 1f, you may have to click the box I have other boxes on my 1099-B to enter.
The explanation note in TurboTax states:
Usually, if accrued market discount is reported on your Form 1099-B, you should enter it here and we will include this amount as accrued interest on your Schedule B.
Accrued market discount may be found in box 1f of an IRS form 1099-B.
Review your IRS form 1099-B entries. To view box 1f, you may have to click the box I have other boxes on my 1099-B to enter.
The explanation note in TurboTax states:
Usually, if accrued market discount is reported on your Form 1099-B, you should enter it here and we will include this amount as accrued interest on your Schedule B.
Thank you for a prompt reply.
I have quickly reviewed my 1090- B's and do not see anything. I'll go through later to be sure.
I have not tried clicking on the box 1f. I'll have to log into the bankers to do that More later, probably tomorrow!
I have further reviewed my 1099-B forms - there is nothing in box 1f on them. You mention checking a box "I may have more info etc." Since this is imported data, it is the financial organization that would do that and I am unsure how I would see that?
Is it possible to delete that item from schedule B and if so, how?
It is possible to delete the item from schedule B but an accrued market discount is an actual thing. It usually modifies interest reported on a 1099-INT. It should be reported.
You said that you had imported your brokerage forms. A 1099-COMB usually includes the 1099-B as well as a 1099-INT or 1099-DIV or all three. That accrued market discount should be an adjustment to the interest you received on your 1099-B and it should appear on your schedule B. Deleting it is a bad idea.
Thanks for the advice, I wasn't trying to be dishonest, I was thinking of experimenting to see what TT would do with the deletion, through the review process, still trying to find where it is reported. I couldn't see how to delete it from the form, however.
I have since found a couple of 1099-MISC forms TT has found, that do not appear in the paperwork I received. I am working with a new institution; I obviously have more work to do before I can file!
I need to say sorry to anyone following this thread! The item was reported on 1099-B AND was included in Forms! What threw me was that it showed up in Interest (plus I have extremely bad eyesight)! For the record it was on 1099-B as line 1f accrued market disc (D). TT put it into the Capital Asset Sales Worksheet, into the Brokerage Statement. Code D - Short term sales with cost basis reported to IRS. It was listed in Forms as a Capital Asset sale, not as an interest. It also appears on Form 8949 "Sales and other dispositions of Capital Assets".
So - good old TT saved my bacon again! My thanks to the Community as well.