The Jobs and Growth Tax Relief Reconciliation Act (JGTRRA) of 2003 (Public Law 108-27), reduced capital gains rates on distributions
effective
after May 5, 2003. Brokers and others reporting the gain or (loss) on regulated futures or foreign currency contracts in new boxes 6b and
9b of Form 1099-B must provide to the recipient amounts attributable to the profit or loss after May 5, 2003. Form 1099-B
has been reformatted to two
forms per page to allow for the additional reporting.
Revenue Procedure 2002-50, 2002-29 I.R.B. 173, provides an exception from reporting by brokers on Form 1099-B for the sale of certain
stock that was obtained from the exercise of a stock option and sold by the broker on the same day. See Stock options below.
New Form 1099-CAP, Changes in Corporate Control and Capital Structure, must be filed to report cash and noncash proceeds for
transactions under the provisions of section 6043(c). See Combined reporting for a section 6043(c) transaction below.
In addition to these specific instructions, you should also use the 2003 General Instructions for Forms 1099, 1098, 5498, and W-2G.
Those general instructions include information about:
- Backup withholding
- Magnetic media and electronic reporting requirements
- Penalties
- Who must file (nominee/middleman)
- When and where to file
- Taxpayer identification numbers
- Statements to recipients
- Corrected and void returns
- Other general topics
You can get the general instructions from the IRS website at www.irs.gov or by calling 1-800-TAX-FORM (1-800-829-3676).
