Stash customers who owned certain investments that are subject to reclassification for the appropriate tax year may receive a Corrected Consolidated Form 1099 on or around March 15, about a month after receiving your Consolidated Form 1099 in February.

This part is really important:

The Corrected Consolidated 1099 form that you may receive in March replaces the form you should receive in February.

If you prefer filing your taxes early, it may be best to wait until you receive this form or consult a tax professional, since the IRS can fine you for filing your taxes twice.

Not everyone will receive a Corrected Consolidated 1099. If you do receive a corrected form, you need to incorporate it into your tax returns. You may want to consult a tax professional if you have any questions.  

Why do I need this different form?

Some investments including, but not limited to All That Glitters (GLTR) and Real Estate Tycoon (VNQ) are asset-focused investments, rather than stock-focused. Therefore, they are structured differently.

Often, an ETF’s fund expenses are embedded into the share price or paid through withheld dividend payments. All That Glitters covers fund expenses by selling small portions of held assets throughout the year. These sales can result in gains or losses to you, the investor, that affect your taxes.

Real Estate Tycoon pays dividends based on the underlying real estate rental profits. While most dividends are typically taxed at the lower capital gains tax rate, these rental profits count as non-qualified dividends, meaning they are taxed as ordinary income.

These differences extend the time these fund managers need to calculate your investing activity. This is why we may need to send you a Corrected Consolidated Form 1099. 

How will I access my tax documents?

Stash will send your tax documents securely to your Stash account. We do not send tax documents via email, but we will send you an email when your documents are ready for you to download from your account. 

Check out this article to find out how to access your tax documents. 

Why am I receiving tax documents?

This is a legal requirement. Stash Invest accounts are taxable brokerage accounts, and you are required by the IRS to report income earned from realized capital gains and losses and other applicable income.

For more information on this form, other forms you may receive, and relevant tax dates, check out The 2022 Tax Season Dates You Need to Know.

Stash does not provide legal or tax advice and if you have questions regarding your personal circumstances and the forms that you have received, you should consult a tax or legal professional.