Saturday, October 9, 2010 - 4:44 PM
Tax On The CD Opened In 2009 With The Citi Secured Credit CardCitibank
Does anyone know if we are supposed to receive 1099 and to pay taxes on the interest from the 18mos CD every year, or just at the maturity?
1. Saturday, October 9, 2010 - 10:03 PM
Normally, you must pay tax on any amount that is POSTED, meaning that is paid to you. If none is posted until the maturity date, then that is the year in which you pay all of it; if posted monthly, quarterly, or some other schedule, then you pay on the amount posted in any particular year.
293 posts since
Jan 16, 2010
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3. Friday, November 19, 2010 - 8:38 PM
If the bank sends you a 1099-INT they posted the interest that year. If not, they will send you one when it posts (likely at maturity). Different banks handle this differently.
7 posts since
Oct 31, 2010
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