1099 Misc. Sent to me from Commerical Tenant. Self directed IRA

7 Replies

We received for the first time a 1099 Misc. from a Commerical Tenant of a property for rent that is held in our Self Directed IRA. She sent it in my name, not the Trust companies name. Question - should I do a Correction to the 1099 and put the Trust companies name FBO my name? If I do, do I still put my SS# down or the Trust companies EIN? Or can my CPA just fix it when I file my personal taxes. Thanks!

@Patty Puckett

You should have the 1099 corrected otherwise the IRS will expect you to report that income on your personal return.

The responsible party should be your IRA, i.e Patty Pucket IRA. You can use your SSN as the IRA tax ID. Some custodians will allow you to use their EIN as the IRA tax ID. Check with your custodian.


the 1099 must be issued in the name of your IRA custodian with your IRA account number. How did they get your name and your social? This obviously is wrong and must be corrected.

Usually, the payer will ask you to complete form W9, that is how they know to whom issue the tax form.

The renter pays my servicing agent (We have 2 partners). The renter put the 1099 under the name he makes the check out to (our serving agent who is an individual). Then Service agent mailed a 1099 Misc to us (his error) instead of the IRA. I called our IRA Custodian and they said they have never received a 1099 from anyone, no they should not get one in their name or mailed to them. Not sure they are right. So I will have my serving agent do a correction sent to the Trust company FBO Kenneth Puckett with his SS# I guess.. Thanks

@Patty Puckett

I know IRA custodians received them but they don't file them with the government since investments in IRAs are considered passive investments.

Thanks for the information.  George, do I put my husbands SS# or do I get a TIN number for the Trust company to put on the 1099?

@Patty Puckett

I would have them use the IRA custodian's EIN just to not confuse the IRS since the IRA owns the property.

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