☰
✕
Sign In

Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
Level 2
posted Apr 5, 2020 9:48:04 AM

OID Interest

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?

0 3 934
1 Best answer
Expert Alumni
Apr 6, 2020 10:26:33 AM

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. 

3 Replies
Expert Alumni
Apr 5, 2020 11:17:43 AM

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

Level 2
Apr 5, 2020 4:07:17 PM

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? 

Expert Alumni
Apr 6, 2020 10:26:33 AM

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.