Tuesday, March 1, 2011

Where or where did my 1099 go?

Q.  I just received a 1099-Int and a 1099-Div form for my grandson. Since he already filed his taxes, can't I just include the interest and dividends on my return?  RA, Illinois

A.  No, that is not possible. It may be possible for your grandson's parents to include it on their return, depending on the your grandson's age, his earned income, if any, and other considerations.

Tax Tip:  It's always a good idea to have all investment portfolio income mailed directly to the recipient, even if you were the investor. Many grandparents like to make small investments on behalf of their grandchildren, but at the end of the year, if there is taxable income which needs to be reported, it will save everyone a lot of time and inconvenience if these reports go directly to the address of the account holder.

No comments:

Post a Comment