I aquired intetrest throughout the year, but it was not paid to me until after Jan. Do I claim it this year?
by admin ~ January 12th, 2007 . Filed under: United States .
I got this letter from my bank saying:
Your savings total includes a matching bonus from Bank of America. As of 01/02/09, your first year’s accrued bonus was $xxx.xx. Your first year’s matching bonus will be credited to your savings account following your anniversary date on 01/27/09 and will be identified on your periodic statement as “Annual Keep the Change match for Account xxxx.” Your match payment will be reported to the IRS as interest on Form 1099. Remember, we will continue to match your Keep the Change savings at 5% a year, paid annually up to $250 per year.
Do you only claim interest after its paid to you? Will this go on my 2009 return? They word it like I’m supposed to clam it this year, plus they sent it during tax time. Plus how is matching my keep the change account count as interest. What a scam. Guess there is no such thing as free money.
Erica
January 13th, 2007 at 9:56 pm
It goes in the year that it was put into your account. If it was put in during 2008 the bank will be sending you a separate statement listing interest credited to your accounts during 2008, and that is the amount you claim as interest income in 2008.
January 16th, 2007 at 11:47 pm
Since it’s being credited to your account in 2009 you’ll report it next year.
January 17th, 2007 at 3:34 pm
If you got a 1099 for 2008, then you claim it on your 2008 return.
Scam? Geez, anybody that want to send me money if I just have to pay tax on it and get to keep the other 3/4 should feel free to do so - it’s still a really good deal.