Form 1099-DIV, Dividends and Distributions
Form 1099-DIV, Dividends and Distributions, is a yearly tax statement provided to investors by banks and other financial institutions to report dividends and other distributions to taxpayers and to the IRS. This Form includes income from dividends including capital gains dividends and exempt-interest dividends over $10. The information on Form 1099-DIV is provided both to the payee and IRS.
Form 1099-DIV Flow
Use the following flow diagram to learn more about the filing process & the various due dates for each filing requirement.
Dividents and Distributions
Depends on each state
Due dates for Tax year 2015
Provide 2015 Form 1099 to all Recipients
Paper Filing Deadline to send the 2015 Form 1099
E-file Deadline for 2015 IRS
Who needs to file Form 1099-DIV?
File Form 1099-DIV, Dividends and Distributions, for each person:
- To whom you have paid dividends (including capital zero gain dividends and exempt-interest dividends) and other distributions on stock of $10 or more,
- For whom you have withheld and paid any foreign tax on dividends and other distributions on stock,
- For whom you have withheld any federal income tax on dividends under the backup withholding rules, or
- To whom you have paid $600 or more as part of a liquidation.
Where do I file Form 1099-DIV?
If you are filing 250 or more returns you are required to file electronically. However, the IRS encourages you to file electronically even if you are filing less than 250 returns. ExpressTaxfilings.com is the easiest way to file - we transmit everything to the IRS for you! Or, you print paper copies and mail them to the IRS and recipient. To find the mailing address and other detailed Form 1099-DIV information see https://www.irs.gov/pub/irs-pdf/f1099div.pdf
Steps to E-file Form 1099-DIV
- Sign in to your account
- Select to start a new 1099-DIV
- Select payer details (Name, EIN, Address)
- Select a recipient (Name, SSN/EIN, Address)
- Enter Federal Details for Dividends and Distributions Income Including Boxes 1-10 of the Form 1099-DIV
- Enter state Information & state taxes witheld for each applicable state
- Review your order & select whether you would like the Form mailed to the recipient
- Add a credit card for the filing fee
- E-file Form 1099-DIV with the IRS
Got too many 1099-DIV forms to send out?
Use our "Bulk Upload" feature to upload an Excel/CSV file to create 1099-DIV forms in minutes. You can download our Excel template or use your own customized template for this.
Penalties for failing to file Form 1099-DIV
If you fail to file a correct information return by the due date and you cannot show reasonable cause, you may be subject to a penalty. The penalty applies if you fail to file timely, you fail to include all information required to be shown on a return, or you include incorrect information on a return.
The penalty also applies if you file on paper when you were required to file electronically, you report an incorrect TIN or fail to report a TIN, or you fail to file paper forms that are machine readable.
The amount of the penalty is based on when you file the correct information return. The penalty is:
- $30 per information return if you correctly file within 30 days (by March 30 if the due date is February 29); maximum penalty $250,000 per year ($75,000 for small businesses*).
- $60 per information return if you correctly file more than 30 days after the due date but by August 1; maximum penalty $500,000 per year ($200,000 for small businesses*).
- $100 per information return if you file after August 1 or you do not file required information returns; maximum penalty $1,500,000 per year ($500,000 for small businesses*).
*Small businesses—lower maximum penalties. You are a small business if your average annual gross receipts for the 3 most recent tax years (or for the period you were in existence, if shorter) ending before the calendar year in which the information returns were due are $5 million or less.