An information return is a tax document used for reporting certain transactions to the IRS (Internal Revenue Service). As per the IRS and related regulations, filing information returns is mandatory for all entities undertaking reportable transactions.
Information Return Extended Definition
The purpose of filing information returns is to notify the Internal Revenue Service about reportable transactions made during a calendar year. Examples of information returns include Forms W-2 and 1099.
All individuals, partnerships, estates, trusts and corporations making reportable transactions need to file information returns.
Apart from filing information returns, these entities also need to provide income recipients with statements.
Last Updated By
Rachel Blakely-Gray | Apr 28, 2023