Page 32 - Individual Forms & Instructions Guide

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A higher limit may apply to partici- or commission drivers, certain traveling Don’t include any amounts re-
pants in section 457(b) deferred com- salespeople, and certain homeworkers. ! lated to the forgiveness of PPP
pensation plans for the 3 years before re- Statutory employees report the amount CAUTION Loans on this line.
tirement age. Contact your plan adminis- shown in box 1 of Form W-2 on a
trator for more information. Schedule C along with any related busi- Line 2b
ness expenses.
If you were age 50 or older at the end
of 2022, your employer may have al- Missing or Incorrect Taxable Interest
lowed an additional deferral (catch-up Each payer should send you a Form
contributions) of up to $6,500 ($3,000 Form W-2? 1099-INT or Form 1099-OID. Enter
for section 401(k)(11) and SIMPLE your total taxable interest income on
plans). This additional deferral amount Your employer is required to provide or line 2b. But you must fill in and attach
isn't subject to the overall limit on elec- send Form W-2 to you no later than Schedule B if the total is over $1,500 or
tive deferrals. January 31, 2023. If you don’t receive it
by early February, use Tax Topic 154 to any of the other conditions listed at the
You can't deduct the amount find out what to do. Even if you don’t beginning of the Schedule B instructions
! deferred. It isn't included as in- get a Form W-2, you must still report applies to you.
CAUTION come in box 1 of your Form your earnings. If you lose your Form For more details about reporting taxa-
W-2. W-2 or it is incorrect, ask your employer ble interest, including market discount

• Disability pensions shown on for a new one. on bonds and adjustments for amortiza-
Form 1099-R if you haven’t reached the ble bond premium or acquisition premi-
minimum retirement age set by your Line 2a um, see Pub. 550.
employer. But see Insurance Premiums
for Retired Public Safety Officers in the Tax-Exempt Interest Interest credited in 2022 on deposits
instructions for lines 5a and 5b. If you received any tax-exempt interest that you couldn't withdraw because of
Disability pensions received after you (including any tax-exempt original issue the bankruptcy or insolvency of the fi-
reach minimum retirement age and other discount (OID)), such as from municipal nancial institution may not have to be
payments shown on Form 1099-R (other bonds, each payer should send you a included in your 2022 income. For de-
than payments from an IRA*) are Form 1099-INT or a Form 1099-OID. In tails, see Pub. 550.
reported on lines 5a and 5b. Payments general, your tax-exempt stated interest If you get a 2022 Form
from an IRA are reported on lines 4a should be shown in box 8 of Form TIP 1099-INT for U.S. savings bond
and 4b. 1099-INT or, for a tax-exempt OID interest that includes amounts
• Corrective distributions from a bond, in box 2 of Form 1099-OID, and you reported before 2022, see Pub. 550.
retirement plan shown on Form 1099-R your tax-exempt OID should be shown
of excess elective deferrals and excess in box 11 of Form 1099-OID. Enter the Line 3a
contributions (plus earnings). But don’t total on line 2a. However, if you ac-
include distributions from an IRA* on quired a tax-exempt bond at a premium, Qualified Dividends
line 1h. Instead, report distributions only report the net amount of tax-ex-
from an IRA on lines 4a and 4b. empt interest on line 2a (that is, the ex- Enter your total qualified dividends on
*This includes a Roth, SEP, or SIMPLE IRA. cess of the tax-exempt interest received line 3a. Qualified dividends are also in-
during the year over the amortized bond cluded in the ordinary dividend total re-
premium for the year). Also, if you ac- quired to be shown on line 3b. Qualified
Line 1i quired a tax-exempt OID bond at an ac- dividends are eligible for a lower tax
quisition premium, only report the net rate than other ordinary income. Gener-
Nontaxable Combat Pay amount of tax-exempt OID on line 2a ally, these dividends are shown in
box 1b of Form(s) 1099-DIV. See Pub.
Election (that is, the excess of tax-exempt OID 550 for the definition of qualified divi-
for the year over the amortized acquisi-
If you elect to include your nontaxable tion premium for the year). See Pub. 550 dends if you received dividends not re-
combat pay in your earned income when for more information about OID, bond ported on Form 1099-DIV.
figuring the EIC, enter the amount on premium, and acquisition premium. Exception. Some dividends may be re-
line 1i. See the instructions for line 27. ported as qualified dividends in box 1b
Also include on line 2a any ex- of Form 1099-DIV but aren't qualified
Were You a Statutory empt-interest dividends from a mutual dividends. These include:
fund or other regulated investment com-
Employee? pany. This amount should be shown in • Dividends you received as a nomi-
box 12 of Form 1099-DIV. nee. See the Schedule B instructions.
If you were a statutory employee, the • Dividends you received on any
“Statutory employee” box in box 13 of Don’t include interest earned on your share of stock that you held for less than
your Form W-2 should be checked. Stat- IRA, health savings account, Archer or 61 days during the 121-day period that
utory employees include full-time life Medicare Advantage MSA, or Coverdell began 60 days before the ex-dividend
insurance salespeople and certain agent education savings account. date. The ex-dividend date is the first

-25- Need more information or forms? Visit IRS.gov.