OID Interest

[elks]

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?

[RobertG]

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

[elks]

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? 

[JohnW222 · Accepted solution]

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.