FBG Tax Guys, sale of EE Bonds? (1 Viewer)

[DallasDMac]

My wife redeemed about 60 EE Bonds in 2018 because her ex was the beneficiary on them and it was just easier to cash them than to mess with getting them changed. We have not received any sort of 1099-INT on these. All I have is the printed receipt from the bank which shows the total amount redeemed and a column showing the interest accrued. Is that all I need to enter in the Net Proceeds and Accrued Interest columns? Or is there more to it? I bought the Deluxe version of TurboTax, not realizing I needed Premier to cover this.

TIA...

 

[culdeus]

My wife redeemed about 60 EE Bonds in 2018 because her ex was the beneficiary on them and it was just easier to cash them than to mess with getting them changed. We have not received any sort of 1099-INT on these. All I have is the printed receipt from the bank which shows the total amount redeemed and a column showing the interest accrued. Is that all I need to enter in the Net Proceeds and Accrued Interest columns? Or is there more to it? I bought the Deluxe version of TurboTax, not realizing I needed Premier to cover this.

TIA...

They still have plenty of time to 1099 you. How do you know the ex didn't pay before?

 

[DallasDMac]

They still have plenty of time to 1099 you. How do you know the ex didn't pay before?

I don't understand your question. My wife bought EE Bonds while married to the person that is now her ex. She put him as the beneficiary in case she should pass. For obvious reasons, she didn't want him to get said bond funds now if she were to die. Getting them reissued without him listed as the beneficiary was more than she wanted to go through, so she cashed them.  If you mean, how do I know her ex didn't pay for the actual bonds? Because it was a payroll deduction thing when she worked for the Federal Government. It came right out of her paycheck automatically each month.

 

[culdeus]

I don't understand your question. My wife bought EE Bonds while married to the person that is now her ex. She put him as the beneficiary in case she should pass. For obvious reasons, she didn't want him to get said bond funds now if she were to die. Getting them reissued without him listed as the beneficiary was more than she wanted to go through, so she cashed them.  If you mean, how do I know her ex didn't pay for the actual bonds? Because it was a payroll deduction thing when she worked for the Federal Government. It came right out of her paycheck automatically each month.

Ok. That makes sense. 

I mean they are savings bonds. How much possible interest could there be?  Some years they pay a penny a coupon. 

Just claim it and move on. 

 

[Chemical X]

My wife redeemed about 60 EE Bonds in 2018 because her ex was the beneficiary on them and it was just easier to cash them than to mess with getting them changed. We have not received any sort of 1099-INT on these. All I have is the printed receipt from the bank which shows the total amount redeemed and a column showing the interest accrued. Is that all I need to enter in the Net Proceeds and Accrued Interest columns? Or is there more to it? I bought the Deluxe version of TurboTax, not realizing I needed Premier to cover this.

TIA...

you claim the interest accrued.  they are tax deferred, meaning they accumulate until the earlier of maturity or cash in.  st that time, you need to pay the piper.  if you hold EEs after maturity for some reason, you still need to claim the interest at maturity.

 

[Shula-holic]

My wife redeemed about 60 EE Bonds in 2018 because her ex was the beneficiary on them and it was just easier to cash them than to mess with getting them changed. We have not received any sort of 1099-INT on these. All I have is the printed receipt from the bank which shows the total amount redeemed and a column showing the interest accrued. Is that all I need to enter in the Net Proceeds and Accrued Interest columns? Or is there more to it? I bought the Deluxe version of TurboTax, not realizing I needed Premier to cover this.

TIA...

You're going to get a 1099 from the financial institution you cashed them at.  My dad bought a EE bond every month for probably 20 years of his work career.  I do their taxes and every year the bank he cashes them at sends them a 1099 for the interest on those bonds.

 

[DallasDMac]

Ok. That makes sense. 

I mean they are savings bonds. How much possible interest could there be?  Some years they pay a penny a coupon. 

Just claim it and move on. 

A little over $1900 interest on $3500 in bonds. As in, she paid $3500 to purchase them.