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Schedule B: box-by-box
By Andrea Terry Abramowitz •
Bankrate.com
If you can locate Schedule B, then you may actually
need to use it. Schedule B is on the back of Schedule A. This is
where you report all of the taxable interest and dividend income
that you received in 1999.
If you're using Form 1040, you must also use
Schedule B if any of the following are true:
- You made more than $400 in taxable interest.
- You sold your home or other property and
the buyer used it as a personal residence.
- You received a Form 1099-INT that includes
interest you made as a nominee -- it's in your name but the interest
actually belongs to someone else.
- You received a Form 1099 for interest as
a purchaser of a bond with accrued interest.
- You received a Form 1099-INT for tax-exempt
interest.
- You made more than $400 in ordinary dividends.
- You received ordinary dividends as a nominee.
- You had a foreign account or received a distribution
from a foreign account.
Begin by entering your name and Social Security
number.
Line 1
Taxable interest includes interest you earned as dividends from
life insurance and bank accounts -- which are reported on 1099-DIV
forms -- as well as interest from certain bonds and Treasury bills,
and interest on tax refunds.
Report all of your taxable interest. List each
payer's name and show the amount.
Most or all of your interest income earned in
1999 will be reported on 1099-INT forms, which you should receive
copies of. The amounts appearing in boxes 1 and 3 of the 1099-INT
are what you have to report.
If you need more space, attach separate statements
that are the same size as the printed schedule. Use the same format,
but be sure to show your total on Schedule B.
Line 2
Add together all the amounts on line 1 and enter the total on
line 2.
Line 3
In 1999, if you cashed series EE or I U.S. savings bonds issued
after 1989, and you paid qualified higher education expenses, you
may be able to exclude part or all of the interest on those bonds.
For more information, refer to Form
8815, Exclusion of Interest from Series EE and I U.S. Savings
Bonds Issued After 1989.
Line 4
Subtract line 3 from line 2. First, enter the result on line
4. Second, enter the result on line 8a of your Form 1040.
Line 5
Add the amounts listed in box 1 of every Form 1099-DIV you received
for 1999. If the total is more than $400, enter the name of each
payer and amount received.
If you need more space, attach separate statements
that are the same size as the printed schedule. Use the same format,
but be sure to show your total on Schedule B.
Line 6
Add together all the amounts on line 5. First, enter the result
on line 6. Second, enter the result on line 9 of your Form 1040.
Line 7
If you have a foreign bank or security account, check "Yes"
on line 7a and enter the name of the foreign country. But, if the
average balance in the account in 1999 was less than $10,000, you
can check "No."
If you checked "Yes," then you must
file Form
TD F 90-22.1, Report of Foreign Bank and Financial Accounts,
by June 30.
Line 8
If you have a foreign trust, check "Yes" on line 8
and complete Form
3520 or Form
926.
-- Posted April 4, 2000
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