Additional information regarding 1099’s received from Koniag

Tis the tax season! Koniag mailed IRS 1099 forms to Shareholders for 2017 by January 31, 2018. Some may have received more than one type of 1099 form.

 A 1099-DIV form was sent to most shareholders who received a January 2017 dividend. That 1099-DIV is reportable on Schedule B of the tax return in the Dividends section.

 A 1099-MISC form was sent to shareholders that hold Class B stock. The amounts reported are the June 2017 distribution of 7(j) monies plus any estate settlements monies that were accumulated on Class B shares. In addition, we reported prizes such as early bird or stock will drawings on the 1099-MISC.

 The amounts on the 1099-MISC from box 3 should be reported on Line 21 of the federal form 1040 which is the same line where Alaska PFD is reported. Those funds are NOT subject to self-employment tax. IRS instructions stipulate that Form 1040A is not the proper form to use if a 1099-MISC was received.

 It is the responsibility of the Shareholder to accurately report Koniag income on the tax returns. Koniag cannot provide tax advice; however, there are some useful resources. The IRS website at https://www.irs.gov/filing contains valuable information. The AARP also has resources for assisting with filing taxes at https://www.aarp.org/money/taxes/info-2018/aarp-tax-help-fd.html?intcmp=AE-MON-BB-TAXAIDE. If using a tax preparation software, we recommend contacting the customer support for that software and ask for their assistance.

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