2.29 Tax Forms in Oracle Banking Retail Accounts
This topic describes the processing of tax forms in Oracle Banking Retail Accounts.
The Internal Revenue Service (IRS) requires financial institutions to provide them and their customers information regarding the financial institution customer’s income of various types. The IRS 1099 Form is a collection of tax forms documenting different types of payments made by an individual or a business that typically isn't the payee’s employer. The payer fills out the form with the appropriate details and sends copies to the payee and the IRS, reporting payments made during the tax year. IRS Form 1099-INT focuses on interest income.
The details required as part of 1099 INT reporting include the below fields
that are relevant from Oracle banking accounts perspective:
- Customer Number
- Account Number
- Start date of Financial Year
- End date of Financial Year
- Date of interest credit to account
- Interest paid amount
- Penalty amount (on early redemption of deposit)
- Customer residential address state
- FATCA indicator
- Second B notice
- Federal Income tax withheld
- State information (State, State Identification number, and State tax withheld).
Reporting of the below data that are part of 1099INT is not in scope for
Oracle Banking Retail Accounts:
- Interest on US savings bonds and treasury
- Foreign tax withheld
- Tax-exempt interest
Parent topic: Operations