Tax Form Guide

2026 Information Return Guide

This guide summarizes federal information returns for tax year 2026, meaning payments and transactions made during calendar year 2026 that are reported in early 2027. It is general information, not tax advice. Please confirm details against the current IRS form instructions before filing.

1099 Reporting

Form 1099-NEC

Used to report $2,000 or more paid to independent contractors for services performed during 2026. This threshold rose from $600 under the One Big Beautiful Bill Act and will be adjusted for inflation starting in 2027 (payments made in 2025 still use the $600 threshold). Reports nonemployee compensation in Box 1, shows backup withholding in Box 4 if the contractor didn’t provide a correct taxpayer ID, and is checked in Box 2 when the payer made direct sales of $5,000 or more of consumer products to the recipient for resale.

Form 1099-MISC

Used to report miscellaneous payments such as rent, royalties, prizes, awards, and other non-service income. For 2026 payments, most categories are reportable at $2,000 or more (up from $600), while royalties remain reportable at $10 or more and a few categories, such as gross proceeds paid to attorneys, keep their existing thresholds. Reports rent in Box 1, royalties in Box 2, other taxable income in Box 3, shows backup withholding in Box 4 if the payee didn’t provide a correct taxpayer ID, and is checked in Box 7 when the payer made direct sales of $5,000 or more of consumer products to the recipient for resale.

Form 1099-INT

Used to report interest income paid to individuals, including taxable interest from banks, credit unions, brokers, and other payers. Reports taxable interest in Box 1, early withdrawal penalties in Box 2, U.S. savings bond and Treasury interest in Box 3, federal tax withholding in Box 4 if the payee didn’t provide a correct taxpayer ID, tax-exempt interest in Box 8, specified private activity bond interest in Box 9, market discount in Box 10, bond premium in Box 11, and state information in Boxes 15–17.

Form 1099-DIV

Used to report dividend income paid to investors, including ordinary dividends, qualified dividends, and capital gain distributions. Reports ordinary dividends in Box 1a, qualified dividends in Box 1b, and capital gain distributions in Box 2a, with exempt-interest dividends in Box 12, specified private activity bond interest dividends in Box 13, and state information in Boxes 14–16.

Form 1099-R

Used to report retirement-related distributions such as pensions, annuities, IRAs, 401(k)s, and other retirement plans. Reports the total distribution in Box 1, the taxable amount in Box 2a, and the distribution code in Box 7 that identifies the type of withdrawal (early, normal, rollover, disability, etc.).

Form 1099-K

Used to report payment card and third-party network transactions for businesses and individuals who receive payments through platforms like PayPal, Stripe, Square, or credit card processors. Reports the gross payment amount in Box 1a, the number of payment transactions in Box 3, and monthly totals in Boxes 5a–5l. Payment card transactions are reportable regardless of amount, while third-party network transactions are reportable only when payments exceed $20,000 and 200 transactions (or the lower state threshold where applicable).

Form 1099-B

Used to report proceeds from broker-handled sales or exchanges of stocks, bonds, mutual funds, options, commodities, and other securities. Reports the description of property in Box 1a, the date acquired in Box 1b, the sale date in Box 1c, the gross proceeds in Box 1d, and the cost basis in Box 1e, with additional boxes indicating wash-sale adjustments, market discount, whether basis was reported to the IRS, and whether the transaction is short-term, long-term, or subject to special rules.

Form 1099-C

Used to report canceled or forgiven debt of $600 or more, issued by lenders, credit card companies, government agencies, or other financial entities when a qualifying cancellation event occurs. Reports the cancellation date in Box 1, the amount of debt discharged in Box 2, any included interest in Box 3, and the reason for cancellation in Box 6, with Box 7 showing property value only when foreclosure or abandonment is involved.

Form 1099-S

Used to report the gross proceeds from the sale or exchange of real estate so the IRS can match the transaction to the seller’s capital-gain reporting. Shows the closing date in Box 1 and the gross proceeds in Box 2, meaning the full amount paid for the property, including cash, debt assumed, or other consideration. Box 3 gives the address or legal description of the property, Box 4 is checked if the transferor received or will receive property or services as part of the consideration, Box 5 is checked if the transferor is a foreign person, and Box 6 shows the buyer’s part of real estate tax. There is no box for a principal residence; instead, the filer may be able to skip issuing the form for certain principal residence sales if the seller provides the required certification.

Form 1099-DA

Used by brokers to report sales, exchanges, or dispositions of digital assets (including crypto, stablecoins, and NFTs) when they effect transactions for customers. Shows the digital asset code, name, and number of units in Boxes 1a–1c, the dates acquired and sold in Boxes 1d–1e, gross proceeds in Box 1f, cost basis in Box 1g, accrued market discount and wash sale loss disallowed in Boxes 1h–1i, and whether the gain or loss is short-term, long-term, or ordinary in Box 6. Box 4 shows backup withholding, Box 9 is checked if the asset was a noncovered security, and Box 11a is checked when qualifying stablecoins or specified NFTs are reported in aggregate.

Form 1099-CAP

Used to report when a corporation undergoes a change in control or a substantial change in capital structure and shareholders receive cash, stock, or other property in exchange for their shares. Shows the exchange date in Box 1, the total value of cash/stock/property received in Box 2, the number of shares exchanged in Box 3, and the class of stock exchanged in Box 4.

Form 1099-OID

Used to report original issue discount (OID) of at least $10 on debt instruments issued at a discount, along with any withheld federal or foreign tax. Shows taxable OID in Box 1, stated interest in Box 2, early-withdrawal penalties in Box 3, federal tax withheld in Box 4, OID on U.S. Treasury obligations in Box 8, and tax-exempt OID in Box 11.

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Reporting digital asset transactions? See our 1099-DA Outsourcing service.

1098 Series

Form 1098

Used to report mortgage interest of $600 or more received by a lender during the year on a mortgage secured by real property. Reports mortgage interest received in Box 1, outstanding principal in Box 2, mortgage origination date in Box 3, refunded interest in Box 4, mortgage insurance premiums in Box 5, and deductible points paid for a home purchase in Box 6.

Form 1098-T

Used by eligible educational institutions to report qualified tuition and related expenses billed to or paid for a student, as well as scholarships and grants received. Shows payments received for qualified tuition and related expenses in Box 1, adjustments for a prior year in Box 4, scholarships or grants in Box 5, adjustments to prior-year scholarships or grants in Box 6, and student status indicators such as half-time enrollment and graduate-level status in Boxes 8–9.

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Equity Compensation

Form 3921

Used to report the transfer of stock to an employee when they exercise an Incentive Stock Option (ISO) under Section 422(b). Reports the grant date in Box 1, the exercise date in Box 2, the exercise price per share in Box 3, the fair market value on the exercise date in Box 4, and the number of shares transferred in Box 5.

Form 3922

Used to report the transfer of stock to an employee when they purchase shares through an Employee Stock Purchase Plan (ESPP) under Section 423(c). Reports the grant date in Box 1, the purchase date in Box 2, the fair market value on the grant date in Box 3, the fair market value on the purchase date in Box 4, the purchase price paid in Box 5, and the number of shares transferred in Box 6.

Learn about our Form 3921 & 3922 (IRC 6039) Reporting service.

ACA Reporting

Form 1095-C

Used by Applicable Large Employers to report the health insurance coverage they offered to full-time employees under the Affordable Care Act. Shows the type of coverage offered using Line 14 codes, the employee’s required monthly contribution for the lowest-cost self-only plan in Line 15, any safe-harbor or relief code in Line 16, and (if the employer is self-insured) lists each covered individual and their months of coverage in Part III.

Form 1094-C

Used by Applicable Large Employers as the transmittal form that accompanies all 1095-C filings sent to the IRS, identifying the employer and summarizing the total number of forms submitted. Reports the ALE Member’s information in Part I, the total number of 1095-C forms and eligibility certifications in Part II, monthly coverage and employee counts in Part III, and any other members of an aggregated ALE group in Part IV.

Form 1095-B

Used to show that an individual had minimum essential health coverage for the year, typically issued by insurers, government programs, or self-insured small employers. Identifies the responsible individual in Part I, the provider of the coverage in Part III, and lists each covered individual along with the specific months they were covered in Part IV. Because there is no longer a federal penalty for going without coverage, the form mainly matters in states with their own coverage mandates (California, Massachusetts, New Jersey, Rhode Island, and the District of Columbia). Providers may furnish the form only upon request if they post the required notice.

Form 1094-B

Used as the transmittal form that accompanies a batch of 1095-B returns sent to the IRS, identifying the filer and summarizing the total number of forms submitted. Reports the filer’s information and the total number of attached 1095-B forms.

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Facing an ACA penalty letter? See ACA Penalties Support.

Foreign Payee Reporting

Form 1042-S

Used to report U.S. source income paid to nonresident aliens, foreign partnerships, foreign corporations, and other foreign persons, along with any withholding required under Chapters 3 and 4 of the Internal Revenue Code. Reports the income code in Box 1, gross income in Box 2, the chapter indicator in Box 3 with the exemption code and tax rate in Boxes 3a–3b, the actual tax withheld in Boxes 7a–7c, and the status codes that help determine whether withholding was required.

Form 1042

Used by withholding agents as the annual tax return to report all U.S.-source income paid to foreign persons and the total tax withheld under chapters 3 and 4. Key sections include the Record of Federal Tax Liability, which shows the withholding liability for each deposit period throughout the year, and the Totals from Forms 1042-S, which report the gross income amounts and withheld tax that must match all 1042-S forms issued. The Computation of Tax Due section determines whether the agent owes additional tax or is due a refund, and the Payments/Credits section shows EFT deposits, prior-year credits, and withholding by other agents. The signature block finalizes the return under penalty of perjury.

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Need your Form 1042 prepared? See 1042 Tax Return Preparation.

 

Organizations & Accolades

  • Link to aicpa.org
  • Link to healthcarereformcenter.org
  • Link to wellnessassociation.com
  • Link to icpas.org
  • Link to naspp.com
  • Link to nceo.org
  • Link to scu.edu

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