The 1099-INT is the U.S. tax form used to report interest income. Users may receive a 1099-INT when a convertible note that they own accrues interest. While this interest from convertible notes is technically reportable each year, users will typically be issued a 1099-INT due to a specific conversion event that took place during the tax year. Most issuers do not prepare these forms on an annual basis. Any shares received upon conversion will continue to be held in a user's custodial account with New Direction Trust Company, the same custodian that held the original investment.

Did this answer your question?