IRS Form 1099-OID Instructions for 2024

Completing The Payer’s Information on Form 1099-OID

The following payer information is required:

• Payer’s Address (street address, city or town, state or province, country, and ZIP or foreign postal code).
• Payer’s TIN.

Completing The Recipient’s Information on Form 1099-OID

The following recipient information is required:

• Payer’s Address (street address, city or town, state or province, country, and ZIP or foreign Recipient's name
• Recipient's TIN
• Recipient’s Address (street address, city or town, state or province, country, and ZIP or foreign postal code)
• Account Number (Account number is required when the filer reports more than one Form 1099-OId and uses multiple accounts for the recipient.)

Completing Other Information on Form 1099-OID

From Box 1 to Box 14, the IRS requires the following information which is listed below.

• Box 1: Original Discount Amount For The Year

  Enter the amount of OID that is allocated for the current tax year. This is the taxable income that should be reported on the recipient's tax return even though you don’t receive payment for it.

• Box 2: Other Periodic Interest

  Enter the taxable interest that you actually paid during the year in box 2. Other periodic interest is the original interest paid on the debt instruments during the current year, excluding the OID amount.

• Box 3: Early Withdrawal Penalty

  In box 3, enter the penalty taxpayers pay for early withdrawal before the
  maturity date.

• Box 4: Federal Income Tax Withheld

  In box 4, enter the amount of federal income tax withheld from the amount paid including backup withholdings.

• Box 5: Market Discount

  Enter the amount of market discount that was acquired on the debt instrument during the calendar year. This box is to report covered security acquired with OID and market discount.

• Box 6: Acquisition Premium

  Enter the amount of Premium amortization for the year the debt instrument was owned by the investor/recipient.

• Box 7: Description

  Enter the information about the debt instruments which includes CUSIP number, coupon rate, and year of maturity.

• Box 8: Original Issue Discount in U.S. Treasury Obligations

  Enter the OID amount on U.S Treasury obligations for the year that the taxpayer owned it.

• Box 9: Investment Expenses

  Enter the number of investment expenses taxpayer shares from a single class REMIC. Note these expenses are no
  longer deductible.

• Box 10: Bond Premium

  Enter the bond premium amount for covered taxable securities.

• Box 11: Tax-exempt OID

  Enter the amount of Tax-exempt interest on OID.

  Only enter the tax-exempt OID amount that was acquired on or after January 1, 2017. You are not required to report
  tax-exempt OID acquired before January 1, 2017.

• Box 12-14:

  This box is for payers filing for both federal and state programs. Enter the state withholding information related to the Income which includes the State ID number, state abbreviation, and amount of tax withheld.

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