Chase 1099 for referral & other bonuses: paperless, retention, etc [Consolidated]
Apr 11, 2022, 1:42 am
#91
FlyerTalk Evangelist
Join Date: Mar 2002
Location: Saipan, MP 96950 USA (Commonwealth of the Northern Mariana Islands = the CNMI)
Programs: UA Silver, Hilton Silver. Life: UA .57 MM, United & Admirals Clubs (spousal), Marriott Platinum
Posts: 15,067
The IRS considers a rebate or discount to be a non-taxable event. On the other hand, an incentive payment, such as for account opening or for referring new accounts, is taxable (regardless of whether worth more or less than $600).
Apr 12, 2022, 1:07 pm
#92
Join Date: Apr 2018
Posts: 155
The point is, once they generate it, you have NO option... Consider forewarned.
Apr 12, 2022, 1:10 pm
#93
Join Date: Apr 2018
Posts: 155
Skytizen, Did this actually happen to you for credit card points or was it for earning points for referrals or a checking bonus? The IRS has said credit card points earned from purchases are considered a rebate and not taxable so you can correct this if it happened.
Edited to add, https://www.irs.gov/pub/irs-drop/a-02-18.pdf
Edited to add, https://www.irs.gov/pub/irs-drop/a-02-18.pdf
If you want to avoid an audit, regardless of the publication, just pay the tax was the CPA advice.
thanks for the reference to the IRS publication.
Apr 12, 2022, 1:36 pm
#94
Moderator
Join Date: Jun 2003
Location: Miami, Mpls & London
Programs: AA & Marriott Perpetual Platinum; DL & HH Gold
Posts: 48,959
Apr 13, 2022, 4:34 pm
#95
Join Date: Apr 2018
Posts: 155
hi
they sent an 1099 MISC..
When I called as to how they computed the rather significant "income" they generated for me, the person had no clue and directed me to IRS.
IRS then, understandably, redirected me to the "bank" because they were the ones who generated the statement... !
Rgs
they sent an 1099 MISC..
When I called as to how they computed the rather significant "income" they generated for me, the person had no clue and directed me to IRS.
IRS then, understandably, redirected me to the "bank" because they were the ones who generated the statement... !
Rgs
Apr 13, 2022, 4:40 pm
#96
Join Date: Apr 2018
Posts: 155
hi
they sent an 1099 MISC..
When I called as to how they computed the rather significant "income" they generated for me, the person had no clue and directed me to IRS.
IRS then, understandably, redirected me to the "bank" because they were the ones who generated the statement... !
Rgs
they sent an 1099 MISC..
When I called as to how they computed the rather significant "income" they generated for me, the person had no clue and directed me to IRS.
IRS then, understandably, redirected me to the "bank" because they were the ones who generated the statement... !
Rgs
an additional answer to the question.
They included an account number but that was a CREDIT CARD number that they provided as "account number" on the 1099 MISC...
rgs
Apr 14, 2022, 2:26 pm
#97
Join Date: Feb 2011
Location: NYC suburbs
Programs: UA LT Gold (BIS), AA LT Plat (CC SUBs & BD), Hilton Dia (CC), Hyatt Glob (BIB), et. al.
Posts: 3,300
In the real world, and certainly with the US Government and IRS, David rarely (if ever) beats Goliath. Little like: if you want to fly commercially, just wear the mask.
Last edited by mia; Apr 14, 2022 at 2:35 pm
Apr 14, 2022, 2:41 pm
#98
Join Date: Dec 2004
Posts: 7,905
Happened to me.. Chase did not provide an explanation of how they arrived at the significant "income" they generated... they OUGHT to.
If you want to avoid an audit, regardless of the publication, just pay the tax was the CPA advice.
thanks for the reference to the IRS publication.
If you want to avoid an audit, regardless of the publication, just pay the tax was the CPA advice.
thanks for the reference to the IRS publication.
Apr 14, 2022, 4:17 pm
#99
Moderator
Join Date: Jun 2003
Location: Miami, Mpls & London
Programs: AA & Marriott Perpetual Platinum; DL & HH Gold
Posts: 48,959
Agreed. In this thread some posters received $25,000 1099's from American Express, and were able to obtain corrected versions.
Amex personal savings account offer - 25k MR points for a $25k deposit (begin at post 94)
Amex personal savings account offer - 25k MR points for a $25k deposit (begin at post 94)
Mar 23, 2023, 10:26 am
#101
Join Date: Oct 2004
Location: Indianapolis area
Programs: Marriott Lifetime Titanium
Posts: 436
Mar 23, 2023, 10:31 am
#102
Moderator
Join Date: Jun 2003
Location: Miami, Mpls & London
Programs: AA & Marriott Perpetual Platinum; DL & HH Gold
Posts: 48,959
Chase says:
- Bonuses are considered interest and will be reported on IRS Form 1099-INT (or Form 1042-S, if applicable).
Sep 25, 2023, 10:57 am
#104
Join Date: Mar 2013
Location: Chicago, IL
Posts: 422
No separate buckets -- biz cards are still tied to your SSN so it'll be combined personal+biz referrals