Form 1099-B

AAA

DEFINITION of 'Form 1099-B'

A form issued by a broker or barter exchange that summarizes the proceeds of all stock transactions. The sale of a stock will be accompanied by a gain or loss, which must be reported to the IRS when you file your taxes. Specifically, figures from form 1099-B are used on IRS Form 1040, Schedule D.

Brokers are required to provide you form 1099-B by January 31.

INVESTOPEDIA EXPLAINS 'Form 1099-B'

For example, let's assume you sold several stocks within the last year and the proceeds of the transactions equal a capital gain of $10,000. The amount gained from the sale of the stocks will be issued in form 1099-B by your broker and this amount must be included when you file your income taxes.

RELATED TERMS
  1. Barter

    The act of trading goods and services between two or more parties ...
  2. 1040 Form

    The standard Internal Revenue Service (IRS) form that individuals ...
  3. Capital Gain

    1. An increase in the value of a capital asset (investment or ...
  4. Internal Revenue Service - IRS

    A United States government agency that is responsible for the ...
  5. Realized Loss

    A loss is recognized when assets are sold for a price lower than ...
  6. Brokerage Account

    An arrangement between an investor and a licensed brokerage firm ...
Related Articles
  1. Tax Tips For The Individual Investor
    Retirement

    Tax Tips For The Individual Investor

  2. When To Sell A Mutual Fund
    Mutual Funds & ETFs

    When To Sell A Mutual Fund

  3. Should You File An Early Tax Return?
    Taxes

    Should You File An Early Tax Return?

  4. 10 Money-Saving Year-End Tax Tips
    Taxes

    10 Money-Saving Year-End Tax Tips

comments powered by Disqus
Hot Definitions
  1. 80-10-10 Mortgage

    A mortgage transaction in which a first and second mortgage are simultaneously originated. The first position lien has an ...
  2. Passive ETF

    One of two types of exchange-traded funds (ETFs) available for investors. Passive ETFs are index funds that track a specific ...
  3. Walras' Law

    An economics law that suggests that the existence of excess supply in one market must be matched by excess demand in another ...
  4. Market Segmentation

    A marketing term referring to the aggregating of prospective buyers into groups (segments) that have common needs and will ...
  5. Effective Annual Interest Rate

    An investment's annual rate of interest when compounding occurs more often than once a year. Calculated as the following: ...
  6. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
Trading Center