Nominee in schedule B

We purchased a bond from a financial institute with accrued interest paid amount. In the instructions of schedule B form, it says " If you received interest as a nominee, you must give the actual owner a form 1099-INT and file FORMS 1096 and 1099-INT with the IRS".

We are report accrued interest paid manually, and need to know what and how we shall report to IRS?

176

Expert Alumni

Jul 13, 2020 10:38:42 AM

You are not receiving interest as a nominee.

Nominee interest is interest that you are passing on to someone else.

Just report the interest.

If you did not receive a 1099-INT, enter it at the 1099-INT screen, even though you do not actually have a 1099-INT.

TurboTax will ask if the payer provided a Fed number (Employer Identification Number- EIN). When you answer no, it will let you proceed without it.

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Nominee in schedule B