and if u do .what is the percent u have to pay?
2006-07-04 13:53:20 · 9 answers · asked by esqv09 2 in Business & Finance ➔ Taxes ➔ United States
You don't have to report how much you have, just how much interest you have earned on your savings.
You pay income tax on the interest only.
2006-07-04 13:56:51 · answer #1 · answered by Anonymous · 1⤊ 0⤋
You do not have to report the amount of money you have in your savings account. You only need report any interest or money made off the money in the account. You financial institution should send you a 1099 INT or 1099DIV at the end of the year with the amount of money earned. This is added to your income on Schedule B of the 1040 form. The percentage of tax you pay on that depends on your other income and deductions.
2006-07-08 12:20:04 · answer #2 · answered by lade40free 2 · 0⤊ 0⤋
As said above, the bank reports the interest that they paid you to the IRS. So it'd be wise for you to report the interest as well on your tax return and pay the tax on the interest. So the gvmt knows what you have in your account anyway, even if you don't state the amount.
2006-07-05 08:35:43 · answer #3 · answered by scubalady01 5 · 0⤊ 0⤋
You just report the interest. What you pay on it depends upon your tax bracket. I know there used to be an exclusion of a certain amount, but I don't know if that is still true because my accountant handles that for me.
2006-07-04 21:38:35 · answer #4 · answered by kadel 7 · 0⤊ 0⤋
You have to report the interest only. Your 'e already paying taxes on the rest! If you go on to irs.gov, you can find out up to what amount is reportable.
2006-07-04 22:20:52 · answer #5 · answered by Anonymous · 0⤊ 0⤋
the only thing you have to report is how much of interest you got. usually your bank sends you 1098-int form with that information. nobody cares how big are your savings.(Vote for me. I only need 100 more votes)
2006-07-04 22:44:06 · answer #6 · answered by Steven 1 · 0⤊ 0⤋
Your bank has already told the IRS what you have, so you better report it.
2006-07-04 20:58:28 · answer #7 · answered by GregW 4 · 0⤊ 0⤋
no, for taxes, you only have to report the interest earned..
2006-07-04 20:59:20 · answer #8 · answered by jstrmbill 3 · 0⤊ 0⤋
only the income you receive from the account.
2006-07-05 10:52:13 · answer #9 · answered by extra_37 4 · 0⤊ 0⤋