2007-07-17 13:28:11 · 9 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
If you receive interest, then you have to claim that interest as income on your tax return. If it amounts to over $10 for the year, the bank will send you a 1099-INT for the amount and report it to the IRS. But even if you make interest under $10 you are still legally required to report it on your tax return if you are required to file one.
2007-07-17 14:37:49 · answer #1 · answered by Judy 7 · 1⤊ 0⤋
If you have an interest bearing bank account and you earn more than $10.00, the bank is required to report that info to the IRS and will send you a form 1099-INT. Report the total amount on the interest income line, and if necessary, fill out Schedule B.
Also, should you get a refund, you can request the IRS to direct deposit your refund in your bank account--it does save a couple of weeks in processing a paper check. Hope this helped.
2007-07-17 20:33:48 · answer #2 · answered by IRENE THE BOOKIE 3 · 2⤊ 0⤋
The bank will send you a 1099i reporting to you and the IRS the amount of interest you earned in various categories. You have to add that up and if it is more than (I believe) $200, you have to fill out Schedule B telling where in detail it came from and include the taxable interest on the appropriate line of the 1040.
2007-07-17 20:32:17 · answer #3 · answered by Mike1942f 7 · 1⤊ 0⤋
This question doesn't make sense. A bank doesn't charge you anything to have an account (if you get a free checking account.) No taxes of any kind....
2007-07-17 20:31:15 · answer #4 · answered by Rebecca 4 · 0⤊ 0⤋
If you earn interest of dividends, then you will get a statement at the end of the year so you can report that income on your taxes. I think they are 1099-DIV and 1099-INT forms.
Christine is WRONG. There is no tax withholding on a bank account. :-(
2007-07-17 22:03:39 · answer #5 · answered by Anonymous · 0⤊ 0⤋
The bank will send you a statement at the end of the year if it needs to.
2007-07-17 20:30:52 · answer #6 · answered by Anonymous · 0⤊ 0⤋
you have to claim interest that is earned on savings accounts and such. Where I work we only send out a yearly interest statement if the member earned $10.00 or more. Less than 10 they dont have to claim on their taxes
2007-07-17 20:31:19 · answer #7 · answered by dirttrackgirl_77 5 · 1⤊ 1⤋
Nothing. The bank already withholds taxes on the interest you earn.
2007-07-17 20:51:22 · answer #8 · answered by Christine 2 · 0⤊ 4⤋
nothing
2007-07-17 20:32:50 · answer #9 · answered by naenae73 2 · 0⤊ 1⤋