Why you might not receive Vanguard Form 1099-DIV | Vanguard (2024)

FAQs

Why did I not receive a 1099-div? ›

You'll get a 1099-DIV each year you receive a dividend distribution, capital gains distribution, or foreign taxes paid for your taxable investments. But if the amount is less than $10 for the year, no 1099-DIV is sent. But remember: You're still required to report that income to the IRS.

Although self-employed taxpayers who earned less than $600 may not receive a 1099–NEC, they still must report all income when filing their taxes. Freelancers hired through a freelance marketplace, such as Upwork, may not receive a 1099 unless the income exceeds a certain threshold.

Form 1099-DIV is a record that someone paid you dividends. Sometime in February, you might receive a form 1099-DIV (or more than one). You need to hang on to it because it can have a big impact on your tax life.

Get more from Vanguard. Call 855-850-6972 to speak with an investment professional. Most tax forms are required to be provided only for amounts of $10 or more, or if taxes have been previously withheld. However, you must report any investment income or distributions you receive to the IRS.

Will the IRS catch a missing 1099? The IRS knows about any income that gets reported on a 1099, even if you forgot to include it on your tax return. This is because a business that sends you a Form 1099 also reports the information to the IRS.

All 1099-DIV and 1099-B forms are mailed out by mid-February at the latest. You can also access your tax forms digitally: Employee plan participants can find them in the "Tax Forms and Documents" section of Employee Online.

If a business intentionally disregards the requirement to provide a correct Form 1099-NEC or Form 1099-MISC, it's subject to a minimum penalty of $630 per form (tax year 2023) or 10% of the income reported on the form, with no maximum.

Who Doesn't Need to Receive a Form 1099-MISC or 1099-NEC? Generally, C corporations, S Corporations, and LLCs formed as corporations or S Corps don't need to receive a 1099-NEC or 1099-MISC. On irs.gov, check the 1099-NEC instructions and 1099-MISC instructions for exceptions when you are required to issue a 1099.

With a few exceptions, in future tax years you'll likely receive one 1099-consolidated Form for all your mutual fund and brokerage holdings.

Many times, the dividend issuers don't get together to finalize their dividend classification until January or February of the next year, sometimes even later.

What are the requirements for 1099-Div? ›

Why isn't my 401(k) plan paying dividends? If your 401(k) has invested in dividend-paying mutual funds, and you have not received a dividend payout, it could be because the dividend income is automatically reinvested. Most 401(k) plans choose to reinvest the dividend payout into more shares of the mutual fund.

The IRS say that income is income, whether you receive a Form 1099 or not. In fact, all sorts of payments are taxable, even though there is no requirement for a Form 1099 to be issued.

Note that when you view dividend amounts on vanguard.com, these taxes will already have been deducted. On your tax forms, the total dividend amount (before taxes) and the amount of taxes deducted will be reported as separate line items.

You'll get a 1099-DIV if: From a nonretirement account, you received ordinary or qualified dividend distributions, capital gains distributions, or foreign taxes paid. From a tax-exempt bond fund or money market fund, you received interest dividends, including specified private activity bond interest.

If you're a U.S. taxpayer with at least $10 in dividend income, you'll receive a 1099-DIV form from your brokerage, along with a consolidated 1099 form.

A late or missing 1099 can be stressful — especially if you're waiting on the form so you can sit down and file your self-employment taxes. The good news is, you technically don't need these forms to file. And as long as you report all your income, not having a 1099-NEC won't cause you any trouble.

Form 1099-DIV is used by banks and other financial institutions to report dividends and other distributions to taxpayers and to the IRS.