All Forum Posts by: Joel Hunt

@Joel Hunt You MIGHT want to check on that 1099 form --- there are a bunch of 1099 variants and I don't know them all.

I guess it sounds like you are concerned that it looks like you made the principal and interest.  Obviously, you should only be paying tax on the interest.  Does the 1099 form break out those two numbers?  who issued the 1099?  A escrow/title company -- or how did you participate in this hard money loan?  Was it from the servicer of the loan (if you had one)?

I'd get the 1099 corrected to show the actual interest that you distributed.

Hey Joel, for reporting your hard money loan on taxes, you can file using just the interest portion from your 1099nec. You'll need to fill out Schedule B and also the interest income section of your tax return (usually Form 1040). 

Make sure you report it accurately to avoid any IRS issues. While it's cool you're doing it solo, consider consulting a tax pro if you're unsure; it might save you headaches later on. Good luck with your filing!