# Instructions for Form 1099-B

## Proceeds From Broker and Barter Exchange Transactions

### Future Developments
For the latest information about developments related to Form 1099-B and its instructions, such as legislation enacted after they were published, go to [IRS.gov/Form1099B](https://www.irs.gov/Form1099B).

### Reminders

- Who must file.
- When and where to file.
- Electronic reporting.
- Corrected and void returns.
- Statements to recipients.
- Taxpayer identification numbers (TINs).
- Backup withholding.
- Penalties.
- The definitions of terms applicable for chapter 4.

### General Instructions
1099GeneralInstructions or go to [IRS.gov/Form1099B](https://www.irs.gov/Form1099B).

Online fillable copies. To ease statement furnishing requirements, Copies B, C, 1, and 2 are fillable online in a PDF format available at [IRS.gov/Form1099B](https://www.irs.gov/Form1099B). You can complete these copies online for furnishing statements to recipients and for retaining in your own files.

### Filing Requirements
A broker or barter exchange must file Form 1099-B for each person:
- For whom the broker has sold (including short sales) or exchanged property or services through a barter exchange.

### Qualified Opportunity Funds
A Qualified Opportunity Fund (QOF) is an investment vehicle organized as a corporation or a partnership for the purpose of investing in qualified opportunity zone property. See section 1400Z-2(d).

#### Reporting Dispositions
Report all dispositions of interests in the QOF regardless of the identity of the person who disposed of it. Report each disposition on a separate Form 1099-B:
- **Box 1a**: For interests in the QOF, enter the appropriate descriptions. For example, for stock, enter the number of shares or units; for partnerships, enter the percentage of investment.
- **Box 1b**: Enter the acquisition date of any interest in the QOF, if known.
- **Box 1c**: Enter the date of disposition of any interest in the QOF.
- **Box 1d**: Enter the gross cash proceeds from the disposition of any interest in the QOF, if known.
- **Box 3**: Check the “QOF” box for reporting the disposition of an interest in the QOF.

#### Brokers
If you are a broker or barter exchange, complete Form 1099-B as usual for all dispositions of interests in QOFs. Complete box 1e to report cost or other basis for QOF investments.

### Reporting
How many transactions to report on each form:
- Report each transaction on a separate Form 1099-B, except for regulated futures, foreign currency, or Section 1256 option contracts which may be reported on an aggregate basis.

### Sales of Securities
Sales of each type of securities must be reported on a separate Form 1099-B:
- Covered securities with short-term gain.
- Covered securities with long-term gain or loss.
- Noncovered securities if the option is checked when reporting their sale.

### Example of Reporting
Your customer Bella bought shares of stock in ABC Corporation in April 2001 and 2021. If Bella sells all the stock in a single transaction, report sales of covered securities on two separate Forms 1099-B. Report the noncovered securities on a third Form 1099-B or alongside the Form 1099-B reporting the sale of the covered securities.

### Short Sales of Securities
Do not report a short sale entered into after 2010 until the year a customer delivers a security to satisfy the short sale obligation. Report the short sale on a single Form 1099-B unless:
- You are reporting both short-term and long-term gain or loss from a short sale closed by delivery of covered securities.

### Backup Withholding
If backup withholding was taken, file a 2022 Form 1099-B and report tax withheld in box 4. If a short sale obligation is satisfied with a security transferred into a customer's account, follow Regulations section 1.6045-1(c)(3)(xi)(C).

### Widely Held Fixed Investment Trusts (WHFITs)
Trustees and middlemen must report various payment proceeds on Form 1099-B. A tax information statement must be provided to TIHs.

### Requirements for Tax Information Statement
A written tax information statement is required to be provided to TIHs detailing elements such as non-pro rata partial principal payments, trust sales proceeds, etc.

### Identifying a Corporation
For sales of covered securities that were acquired after 2011, certain identifiers are used to determine whether a customer is a corporation.

### Barter Exchanges
A barter exchange must report each transaction on separate Form 1099-B except for transactions involving exempt foreign persons or exchanges involving property valued at less than $1.00.

### Statements to Recipients
If you are required to file Form 1099-B, you must provide a statement to the recipient. Pursuant to Regulations section 301.6109-4, all filers may truncate a recipient’s TIN on payee statements; however, truncation is not allowed on documents filed with the IRS.

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This is a brief overview and reference for filling out Form 1099-B, including requirements for brokers, QOFs, and general instructions regarding sales and exchanges of securities.