Interest Income

[geekgirldany]

When reviewing information with clients today they told me that they had received $100 each for opening savings/checking accounts with Washington Mutual. So total $200. Client said that he had a paper from when they opened the accounts that it would be taxable on their return.

No 1099-INT or anything else from them. Should this be reported as Line 21 other income? Or should it be reported at all?

Thank you

[taxea]

Ln 21-similar to prize...it is taxable.

[S T]

I have found

that normally these "gifts" from Banks, usually show up on an 1099 INT form and included in interest earnings

so I would think that you could include on the Schedule B form, or possibly Line 21

WAMU was closed in 2009, I think that JP Chase took over most of the Branches?

Sandy

[geekgirldany]

I thought WAMU was closed down.

I'll go ahead and put it on line 21 as he hasn't received anything else.

Thank you

[Koss]

Bankrupt Banks

Way, way back in the days when my grandparents had something called a passbook savings account, savings and loan associations would offer incentives to open a new account. These incentives were often household appliances, such as a toaster or a coffee maker.

Then, in the 80s, when we had the first savings and loan "crisis," the joke that made the rounds in the cocktail lounges was...

Have you heard about the special deal over at Wal-Mart?

If you buy a toaster, you get a free Savings and Loan.





BMK

[Koss]

Okay, wait a minute...

I think even my parents had passbook savings accounts...

In fact, I myself might have had one when I was a child.

I'm older than I thought I was.


BMK