Form 1099-INT and 1099-DIV: Reporting Interest and Dividends
Published November 4, 2026
Banks, brokers, and funds send these forms to report money you earned. Form 1099-INT reports interest. Form 1099-DIV reports dividends and some fund distributions. You must report taxable interest and dividends even if you do not get a form. IRS: Topic 403, Interest received · IRS: Topic 404, Dividends
When you receive a form
A payer generally must send Form 1099-INT if it paid you $10 or more in interest. The same $10 threshold applies to Form 1099-DIV for dividends and other distributions. A brokerage may combine several forms into one consolidated statement. IRS: About Form 1099-INT · IRS: About Form 1099-DIV
Form 1099-INT: the boxes to check
- Box 1, Interest income: taxable interest, such as interest on bank accounts, money market accounts, and certificates of deposit.
- Box 3, Interest on U.S. Savings Bonds and Treasury obligations: interest from Treasury bills, notes, and bonds. This interest is federally taxable but generally exempt from state and local income tax.
- Box 4, Federal income tax withheld: backup withholding, if any.
Credit union "dividends" on deposits are interest, not dividends. They are reported as interest. IRS: Topic 404
Form 1099-DIV: the boxes to check
- Box 1a, Total ordinary dividends: all taxable ordinary dividends, including money market fund dividends.
- Box 1b, Qualified dividends: the part of Box 1a that may get lower capital gain rates. It is included in Box 1a, not added to it.
- Box 2a, Total capital gain distributions: these are always reported as long-term capital gains.
IRS: Instructions for Form 1099-DIV
Where the amounts go
Interest and dividends are part of your total income. The IRS instructions for Form 1040 show where each amount is reported on your return. Topic 404 gives the same direction for dividends. IRS: Topic 404
Example
Illustration only: A bank sends a 1099-INT with $300 in Box 1. A fund sends a 1099-DIV with $200 in Box 1a and $150 in Box 1b. Your ordinary income from these forms is $500 ($300 plus $200). The $150 in Box 1b is the qualified part of the $200, not an extra $150. Real amounts will come from your own forms.
When to attach the form
Keep Form 1099-DIV with your records. It generally goes with your return only when federal income tax was withheld. If you have more than $1,500 of taxable ordinary dividends, the IRS instructions say to report them on Schedule B. IRS: Topic 404
If the money belongs to someone else
You may receive a form for interest or dividends that belong to another person. This is called nominee income. The IRS instructions explain how to report it. IRS: Topic 403
Common mistakes
- Thinking no form means nothing to report. You must report all taxable interest and dividends.
- Adding Box 1b on top of Box 1a. Box 1b is part of Box 1a.
- Treating a credit union dividend as a dividend. It is interest.
- Giving the payer an incorrect taxpayer identification number. This can lead to a penalty and backup withholding. IRS: Topic 404
Brokerage accounts
Brokerage accounts can produce interest and dividends even when you sell nothing. Your broker may put them on one consolidated statement. Compare that statement with the individual forms so that no item is missed or counted twice.
Checklist
- Collect every Form 1099-INT and 1099-DIV, including the pages of any consolidated statement.
- Compare the totals with your bank and brokerage year-end statements.
- Note Box 3 interest separately, since it may be treated differently.
- Note Box 1b qualified dividends, which are part of Box 1a.
- Check that your taxpayer identification number is correct on each form.
- Keep the forms with your tax records, and read Tax appointment document checklist for other items to bring.
General information, not advice for your return.
Sources: IRS: Topic 403, Interest received (https://www.irs.gov/taxtopics/tc403); IRS: Topic 404, Dividends (https://www.irs.gov/taxtopics/tc404); IRS: About Form 1099-INT (https://www.irs.gov/forms-pubs/about-form-1099-int); IRS: About Form 1099-DIV (https://www.irs.gov/forms-pubs/about-form-1099-div); IRS: Instructions for Form 1099-DIV (https://www.irs.gov/instructions/i1099div); IRS: Instructions for Form 1099-INT (https://www.irs.gov/instructions/i1099int) This is general information, not advice about your specific return.
