Some of your 1099s may be delayed this year because recent changes in the tax law require them to be corrected. They’re supposed to be mailed out by Jan 31 but this year they may not even show up until after the April 18th filing deadline. So what do you do?
1099s are mailed to investors to provide a report of their income. Typically you’ll receive either a 1099-DIV or a 1099-B.
Publishing pal Consumer Reports says you can either just wait and hope they show up in time, or request an automatic 6-month filing extension by filing form 4868 (PDF). This doesn’t extend the paying deadline, however. You will still need to estimate your tax liability and send in your payment on time.
And if you get 1099s after you file, you can wait for the IRS to pick it up and send you a bill or a refund. But if the difference is large, you’re better off filing an amended return using form 1040x (PDF), and make sure to pay any new tax you now owe ASAP to avoid fines and penalties racking up.
IRS Form 1099s may be late this year. Here’s what to do. [Consumer Reports Money Blog]