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Stephen G.
Stephen G., Sr Income Tax Expert
Category: Tax
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Experience:  Extensive Experience with Tax, Financial & Estate Issues
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On a year end investment statement, it shows no interest and

Customer Question

On a year end investment statement, it shows no interest and dividends, but has OID of 9201.08. This will result in a negative adjustment on their tax return. Is this how it gets recorded? I wasn't going to record it on schedule B because there is no other interest to offset it and did not want to show a negative income on the return. Please let me know if I am correct. Thank you.
Submitted: 8 months ago.
Category: Tax
Expert:  Stephen G. replied 8 months ago.

Original Issue Discount is interest income, not an expense or negative adjustment.

Is there a reference to the OID-1099? or is this from a Municipal or other Tax Exempt obligation?

This sounds like a pretty substantial OID amount; is it only one bond or is there some detail as to what's in the OID.

Is this related to a new investment or did they have it last year?

Expert:  Stephen G. replied 8 months ago.

Just checking in...............

I see that you have been able to review my response; do you have any further follow-up questions?

If not, please remember to rate my response as that is the only way we receive credit for our work.

Thanks very much,

Steve G.