Formulaire 1099-PATR Instructions
Instructions pour le formulaire 1099-PATR, Distributions imposables reçues des coopératives
Rév. Janvier 2023
Formulaires associés
- Formulaire 1099-PATR - Distributions imposables Reçu par les coopératives
Department of the Treasury
Internal Revenue Service
Instructions for Form
1099-PATR
(Rev. January 2023)
Taxable Distributions Received From Cooperatives
Section references are to the Internal Revenue Code unless
otherwise noted.
Exceptions. Generally, you are not required to file Form
1099-PATR for payments made to a corporation, a tax-exempt
organization including tax-exempt trusts (HSAs, Archer MSAs,
and Coverdell ESAs), the United States, a state, a possession,
or the District of Columbia. See Regulations section 1.6044-3(c).
Future Developments
For the latest information about developments related to Form
1099-PATR and its instructions, such as legislation enacted after
Statements to Recipients
If you are required to file Form 1099-PATR, you must furnish a
statement to the recipient. For more information about the
requirement to furnish statements to recipients, see part M in the
current General Instructions for Certain Information Returns.
What’s New
Continuous-use form and instructions. Form 1099-PATR
and these instructions have been converted from an annual
revision to continuous use. Both the form and instructions will be
updated as needed. For the most recent versions, go to IRS.gov/
Truncating recipient's TIN on payee statements. Pursuant
to Regulations section 301.6109-4, all filers of this form may
truncate a payee’s TIN (social security number (SSN), individual
taxpayer identification number (ITIN), adoption taxpayer
identification number (ATIN), or employer identification number
(EIN)) on payee statements. Truncation is not allowed on any
documents the filer files with the IRS. A filer’s TIN may not be
truncated on any form. See part J in the current General
Instructions for Certain Information Returns.
Reminders
In addition to these specific instructions, you should also use the
current General Instructions for Certain Information Returns.
Those general instructions include information about the
following topics.
Who must file.
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When and where to file.
Electronic reporting.
2nd TIN Not.
You may enter an “X” in this box if you were notified by the IRS
twice within 3 calendar years that the payee provided an
incorrect TIN. If you mark this box, the IRS will not send you any
further notices about this account.
Corrected and void returns.
Statements to recipients.
Taxpayer identification numbers (TINs).
Backup withholding.
Penalties.
However, if you received both IRS notices in the same year,
or if you received them in different years but they both related to
information returns filed for the same year, do not check the box
at this time. For purposes of the two-notices-in-3-years rule, you
are considered to have received one notice and you are not
required to send a second “B” notice to the taxpayer on receipt
of the second notice. See part N in the current General
Other general topics.
You can get the general instructions at IRS.gov/
Online fillable copies. To ease statement furnishing
requirements, Copies B and C have been made fillable online in
complete these copies online for furnishing statements to
recipients and for retaining in your own files.
Instructions for Certain Information Returns for more information.
For information on the TIN Matching System offered by
the IRS, see Items You Should Note in the current
TIP
General Instructions for Certain Information Returns.
Specific Instructions
File Form 1099-PATR, Taxable Distributions Received From
Cooperatives, for each person to whom the cooperative has paid
at least $10 in patronage dividends and other distributions
described in section 6044(b), or from whom you withheld any
federal income tax under the backup withholding rules
Account Number
The account number is required if you have multiple accounts for
a recipient for whom you are filing more than one Form
1099-PATR. Additionally, the IRS encourages you to designate
an account number for all Forms 1099-PATR that you file. See
part L in the current General Instructions for Certain Information
Returns.
regardless of the amount of the payment. A cooperative
determined to be primarily engaged in the retail sale of goods or
services that are generally for personal, living, or family use of
the members may ask for and receive exemption from filing
Form 1099-PATR. See Form 3491, Consumer Cooperative
Exemption Application, for information about how to apply for
this exemption. Report dividends paid on a cooperative's capital
stock on Form 1099-DIV, Dividends and Distributions.
Box 1. Patronage Dividends
Enter the patron’s share of total patronage dividends paid in
cash (including qualified or “consent” checks), qualified written
notices of allocation (face amount), and other property (except
nonqualified written notices of allocation) allowable as a
deduction under section 1382(b)(1).
Report on Form 1099-PATR only items of income,
expenses, and credits that you properly pass through to
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CAUTION
patrons for reporting on the patron's tax return.
Box 2. Nonpatronage Distributions
For farmers’ cooperatives exempt from tax under section 521
only, enter the patron’s share of the total amount paid in cash
Nov 8, 2022
Cat. No. 27984F
(including qualified or “consent” checks), qualified written
notices of allocation (face amount), and other property (except
nonqualified written notices of allocation) on a patronage basis
with respect to the cooperative’s earnings that are derived from
business done for the United States or any agency thereof or
from nonpatronage sources allowable as a deduction under
section 1382(c)(2)(A).
Box 7. Qualified Payments
For specified agricultural and horticultural cooperatives only,
enter the qualified payments paid to the patron. You are required
to provide this information whether or not you pass any of the
section 199A(g) deduction through to the patrons. See section
199A(b)(7).
Box 8. Section 199A(a) Qualified Items
Redemptions of nonqualified written notices of allocation that
were paid on a patronage basis with respect to the cooperative's
earnings from nonpatronage sources allowable as a deduction
under section 1382(c)(2)(B) are also required to be included in
box 2. Prior to tax year 2020, these amounts were reported in
box 5.
Enter amounts reported to the patrons that are qualified items of
income, gain, deduction, or loss from qualified trades or
businesses that are not a specified service trade or business
(SSTB) for purposes of section 199A. Examples of income that
are not qualified items include tax-exempt income, capital gains,
and income that isn't effectively connected with the conduct of a
trade or business within the United States. See the Instructions
for Form 8995-A for more information on qualified items. Report
items relating to SSTBs separately in box 9.
Box 3. Per-Unit Retain Allocations
Enter the patron’s share of the total per-unit retain allocations
paid in cash, qualified per-unit retain certificates (face amount),
and other property (except nonqualified per-unit retain
Box 9. Section 199A(a) SSTB Items
certificates) allowable as a deduction under section 1382(b)(3).
Enter amounts reported to the patrons that are qualified items
from otherwise qualified trades or businesses that are an SSTB
for purposes of section 199A. Examples of SSTBs include the
provision of services in the fields of health, law, accounting, etc.
See the Instructions for Form 8995-A for more information on
SSTBs and income that does not qualify as qualified items.
Box 4. Federal Income Tax Withheld
Enter backup withholding on patronage payments. Persons who
have not furnished their TIN to you in the manner required are
subject to withholding on payments required to be reported in
boxes 1, 2, 3, and 5 to the extent such payments are in cash or
qualified check. See Regulations section 31.3406(b)(2)-5 for
more information on backup withholding by cooperatives.
Box 10. Investment Credit
Enter the patron’s share of total investment credit.
For more information on backup withholding, including the
applicable rate, see part N in the current General Instructions for
Certain Information Returns.
Box 11. Work Opportunity Credit
Enter the patron’s share of total work opportunity credit.
Box 5. Redeemed Nonqualified Notices
Box 12. Other Credits and Deductions
Enter the amount of redeemed nonqualified written notices of
allocation that were paid as a patronage dividend and the
amount of redeemed nonqualified per-unit retain certificates that
were paid as a per-unit retain allocation. See sections 1382(b)(2)
and (4).
For the patron, state separately in box 12 the type and amount of
each of the following credits and deductions.
The empowerment zone employment credit (Form 8844).
The low sulfur diesel fuel production credit (Form 8896).
The credit for small employer health insurance premiums
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(Form 8941).
Box 6. Section 199A(g) Deduction
The credit for employer differential wage payments (Form
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For specified agricultural and horticultural cooperatives only,
enter the patron's share of the amount of section 199A(g)
deduction claimed by the cooperative under section 199A(g)
and passed through to the patron. This amount must have been
designated in a written notice sent to the patron from the
cooperative within the payment period under section 1382(d).
The deduction allocated to each patron cannot exceed 9% of the
qualified payments reported in box 7. Only eligible taxpayers,
which does not include a C corporation that is not itself a
specified agricultural or horticultural cooperative, may claim a
section 199A(g) deduction that is passed through. Do not reduce
the amounts reported in box 1 or box 3 by the amount reported
in box 6.
8932).
The deduction for capital costs incurred by small refiner
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cooperatives when complying with EPA sulfur regulations.
The biodiesel, renewable diesel, or sustainable aviation fuel
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mixture credit (Form 8864).
Box 13. Specified Cooperatives
Check this box if you are reporting information as a specified
agricultural or horticultural cooperative, defined in section
199A(g)(4)(A) as a cooperative to which part 1 of subchapter T
of chapter 1 of subtitle A of the Code applies which is engaged
(1) in the manufacturing, production, growth, or extraction in
whole or significant part of any agricultural or horticultural
product; or (2) in the marketing of agricultural or horticultural
products.
Note. The cooperative must reduce its section 1382 deduction
by the amount of the section 199A(g) deduction passed through
to its patrons.
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Instructions for Form 1099-PATR (Rev. 01-2023)