joanmcq Posted April 2, 2015 Report Share Posted April 2, 2015 Client's 1099-INT has $797 of amortized bond premium in box 11 against some $34k of nontaxable interest. So I go to the detail, and there's another $22k of amortized bond premium NOT on the 1099. Is there anyplace I should report this? If so, where? Why me? Why now? Quote Link to comment Share on other sites More sharing options...
jklcpa Posted April 2, 2015 Report Share Posted April 2, 2015 Joan, it depends on the type of bond. If it's a bond that pays taxable interest, then you have the option to amortize or not. If it is a bond paying tax-exempt interest, then you are required to amortize the premium, but that amortization does not reduce taxable income, but still reduces the basis. Pub 550, explanation starts on pg 34 if the link doesn't take you there automatically. If only my question on amortization was that easy. I have one wtih OID and adjustments for nonqualified interest and interest shortfall on contingent payment debt, but my client's amounts are in the hundreds, not 5-digit figures like yours. 2 Quote Link to comment Share on other sites More sharing options...
joanmcq Posted April 3, 2015 Author Report Share Posted April 3, 2015 All nontaxable. I think the broker is doing this since all of the bonds sold are no gain or loss. Just going batshit now. Same client has two donations for a grand with receipts that don't have the 'no goods or services' statement. Why don't these groups know about this? Going back for new receipts before I can file. 1 Quote Link to comment Share on other sites More sharing options...
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