what does it mean when the IRS sends you a 1099 for 2006 taxes and tells you to file this along with your tax

Question

THE past two years my income taxes returns were frozen I filed eic and they releases my returns to me in 2006 may two checks ! promble is in 2004 i recived a rapid refund from hsbs through h&r block , later to find out that the irs had open a probe and frozen my returns meaning they never paid the bank either h& r or irs ......the bank charged me intrest and when i got the money i never paid the bank back , the turned it over to collections in texas
who i set up a payment plan very low payments and i ended up not keeping my payments and now texas tells me the account is now back with the bank , the bank removed the account from this collections agency in texas and this letter comes in the mail from the IRS for the amount of 169.00 staten that it was a 1099 , furnished to then , not telling me who , and that it may or not be a credit , overpayment or amount owed by me , but be sure to file it with my taxes this year along side my W2! AFRAID HELP!

i'm too afraid to call irs to find out whats going on ...have anyone out there had this happen to them.....and what does it mean.....

whell it dont say 1099 INT it just says 1099 statement for intrest income
total intrest payed or credited

Answer 1

I sounds as though this is a "debt forgiven" 1099. When ever a creditor forgives a debt they may (not all do) issue you a 1099 that you must then count as income because the debt was erased. If this is the case you most certainly must file on it just like your W-2.
All 1099's indicate some form of income that is not always reportable. Best example of a non-reportable is the 1099 G you may get for a state tax refund for a prior year when you did not itemize your taxes.
There are lots of reasons for a 1099 and without seeing it and the accompanying letter this is the best I can do.

Answer 2

If the IRS paid you interest on the refunds that they held up and finally released to you, they'd send you a 1099 for that interest. I'm guessing that's what this is. Read it again carefully, and see if it says anything like this. If it says 1099-INT that's almost surely what it is. When they paid you your refunds in 2006, you probably got interest on them because they'd held them up.

You'd enter this amount on the "interest" line of your return this year.

Answer 3

You aren't very clear about the subject. It should be 1099-G since its involved with government because I.R.S is the only government branch treasury. Should be Box 1. and 2.
Box 1. that's your payment income needs to file along with your W-2.
Box 2. if any amount in box 1. that including interests.
I should contact with I.R.S to resolve this ASAP because you're involved with U.S Treasury Dept. wether the answers they gave you may not in your favor sometime but its safe to say that you've spoke with the right person with the correct answer. Any Tax attorney and/or accountant may not fully understand about the tax laws & regulations, therefore their advice still in questionable?

Answer 4

u likely will be arrested if u tick em off sufficient. u do not ought to record if u purely made $650 funds, becuase u received't owe them something. many those who do not make a lot funds opt for now to not record because they don't owe funds and they likely received't get something back funds smart. they could chuckle at u over some hundred funds, yet i assure if u make over 15 grand and not in any respect record they'll commence to come back after u. and for the different guy who became speaking about paying taxes as a citizen, i agree taxes are needed. yet shall we not youngster ourselves. i see quite some roads which have not been repaired in a lengthy time period(significant roads), and civil servants are ebing decrease left and acceptable so do not pontificate about uncle sam utilising our tax funds properly. he in basic terms makes use of them to blow on all the stupid crap that not in any respect helps the middle type. booyah!

Answer 5

A 1099 is a form that you get INSTEAD of a W2. It just means that you had income that taxes were NOT taken out of. There are special lines on your tax forms to record this.