What Is IRS Form 1099-DIV? Dividends and Distributions

If you received dividends this year, you'll probably get a Form 1099-DIV. Here's what it means and what to do.
Tina OremNov 3, 2020
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Form 1099-DIV is a record that someone paid you dividends.

Sometime in February, you might receive a form 1099-DIV (or more than one). You need to hang on to it because it can have a big impact on your tax life. Here's how the 1099-DIV tax form works.

A 1099-DIV tax form is a record that a company or other entity paid you dividends. If you earned more than $10 in dividends from a company or other entity, you’ll receive a 1099-DIV.

You use your IRS Form 1099-DIV to help figure out how much income you received during the year and what kind of income it was. You’ll report that income in different places on your tax return, depending on what kind of income it was.

If you need help estimating how dividend income on a Form 1099-DIV could affect your tax bill, .

If you received a Form 1099-DIV from a brokerage firm or other entity because you have investments or accounts that earned dividends, you might also get a few other tax forms in the mail.

You might receive a 1099-CAP if you hold shares of a corporation that was acquired or underwent a big change in capital structure and you got cash, stock or other property as a result.

If you earned more than $10 in interest from a bank, brokerage or other financial institution, you’ll receive a .

You might receive Form 1099-OID if you bought bonds, notes or other financial instruments at a discount to the face value or redemption value at maturity. Typically, the instrument must have a maturity of more than one year.

If you belong to a co-op and received at least $10 in patronage dividends, expect to see Form 1099-PATR in your mailbox.

If you got distributions from a pension, retirement plan, profit-sharing program, IRA or annuity, you might receive a 1099-R. (Remember, , so this form might be simple record-keeping on behalf of the IRS.) If you took a loan from your retirement plan, you might have to treat it as a distribution, which means it might be on this form, too, as well as permanent and total disability payments under life insurance contracts.

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