IRS Form 1099-B

Tax Form 1099-B is used to report proceeds from broker and barter exchange transactions. Brokers must file or e-file IRS Form 1099-B to report sold or bought stocks, commodities, debt instruments, options, or regulated futures, foreign currency, forward, or securities futures contracts. Additionally 1099-B reporting is used to report exchanges of property or service through a barter exchange. Brokers are those who stand ready to effect sales to be made by others in the ordinary course of a trade or business. When reporting an IRS 1099-B Form, brokers must limit transactions to one per form.

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Who Must File or E-file IRS Form 1099-B

Tax form 1099-B is filed by brokers or barter exchanges. Brokers are those who are:

  • Obligors who regularly issue and retire your own debt obligations
  • Corporations that regularly redeem their own stock

In other words, brokers are those who, in the course of a business or trade, stand ready to effect any sales made by other parties. Brokers can include US or foreign persons as well as governmental units and subsidiary agencies.

Brokers must file or e-file Form 1099-B for each person for whom they have sold stocks, commodities, regulated futures contracts, forward contracts, foreign currency contracts, options, debut instruments, or securities futures contracts for cash.

If you’re not considered a broker, you’re not required to participate in 1099-B reporting.

You’re not considered a broker if:

  • You’re a corporation and purchase odd-lot shares from your stockholders on an irregular basis,
  • You manage someone else’s farm
  • You’re an international organization that retires or redeems its own debt.

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Information Needed to File or E-file IRS Form 1099-B

The following data is needed to file or e-file IRS Form 1099-B. When you file a IRS 1099-B Form, you’ll need:

  • Payer info (name, address, TIN, telephone number)
  • Recipient info (name, address, TIN, account number)
  • Financial details of the sale
    • Description of property
    • Relevant dates
    • Costs and proceeds
    • Federal/State income tax withheld (if any)
    • Realized or unrealized profits and losses
    • Bartering data (if applicable)

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When to File or E-file IRS Form 1099-B

The IRS 1099-B Form is subject to the slightly different deadlines as other IRS 1099 Forms. Their deadlines are as follows:

  • Recipient copies must be mailed out by February 15 and
  • Paper copies must be filed with the IRS by February 28 or
  • Electronic copies must be e-filed with the IRS by April 02.

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Completing Form 1099-B

To complete and file or e-file IRS Form 1099-B, you’ll need to follow the steps below:

  • Enter the payer’s name, address, phone number, and federal ID number.
  • Enter the recipient’s name, address, ID number, and account number.
  • Enter a basic description of the sale in boxes 1a-1g.
  • Indicate short- or long-term gain/loss in box 2.
  • Provide IRS and other federal financial data in boxes 3-11.
  • Provide further information about the sale in boxes 12-13.
  • Provide state identifying and financial data in boxes 14-16.

Complete each copy of Form 1099-B and send them to the appropriate recipients and agencies by the IRS’s deadline.

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How to E-file IRS Form 1099-B

When you e-file IRS Form 1099-B with ExpressIRSForms, you’ll be surprised to see how simple it can be to complete your 1099-B reporting! To e-file an IRS 1099-B Form, all you’ll need to do is create or log into your free ExpressIRSForms account.

From your Dashboard, select the “Start New Form” button and click the tax Form 1099-B option. Next you’ll enter your payer information, then your recipient information, and finally your financial data. Once everything’s entered and your forms look in order, pay our one-time transmittal fee and submit your forms directly with the IRS!

With ExpressIRSForms’s special features, you can enter your information in individually or by bulk upload. You can also have us print and mail your recipient copies of tax Form 1099-B by selecting the postal mailing feature. And when you’re done, all you forms are available for you to view in your account’s Print Center!

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Form 1099-B Filing Penalties

If you fail to file or e-file IRS Form 1099-B on time or don’t file at all, you could incur IRS penalties, determined by when you file. If you file

  • Within 30 days of the deadline, the fine is $50 per form;
  • After 30 days but before August 1, the fine is $100 per form;
  • After August 1 or not at all, the fine is $150 per form.

Filing with ExpressIRSForms can help you prevent late filing and keep you from incurring IRS penalties for your IRS 1099-B Forms.

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