Originally Posted by
LongviewTX
Do you have any other examples of this? The whole issue with 1099 was regarding the points EARNED through checking account promos, I have never heard of Citi (or anyone else) issuing 1099 for any points REDEMPTIONS whether these were redemptions within the programs or transfers to 3rd party program.
Read the poster's story in the 1099 thread in this very forum. You can learn a lot of the details, esp what had transpired from the most recent happening to
daveland's account.
TYPs from banking products are deemed taxable, but the reporting period is the year they are redeemed (within the program naturally as it cannot be transferred to 3rd party.)
AA miles from banking products are deemed taxable, but the reporting period is the year they are received (earned).
Why such discrepancy in the reporting period, nobody knows other than obviously it is allowed to be determined by the reporting entity as Citi has been doing such reporting from 2008.