This Schedule B 2026 guide explains the IRS Interest and Ordinary Dividends. Schedule B supports interest and ordinary dividend reporting and includes questions that can be relevant to foreign accounts and foreign trusts. The questions should be read separately from the income totals. A disclosure on this schedule does not automatically satisfy a different foreign-information reporting requirement.
Reviewed October 31, 2026. This is an independent guide. The version and availability information below identifies the IRS documents used for this page.
What Schedule B 2026 does and who prepares it
An individual completes the schedule when the interest, dividend or other reporting conditions in the instructions apply.
For the connected reporting route, see Form 1040. Keep the role of that document separate from the task explained on this page.
| Official form | Form 1040 (Schedule B) |
|---|---|
| IRS title | Interest and Ordinary Dividends |
| Guide period | 2026 |
| Target version | 2026 |
| Availability | Draft — not for filing |
| Last checked | October 31, 2026 |
Get the Schedule B 2026 PDF and check its status
Use the IRS source to confirm the document before completing a real filing. The download link is a reference to the official file; it is not a statement that every copy inside the PDF may be printed and submitted. Follow any instructions about electronic filing, scannable copies, recipient copies or attachments.
Which version of Schedule B 2026 should you use?
The 2026 in the title identifies the tax year or calendar-year information addressed by this guide. For a 2026 income reporting document, the preparation or filing activity may occur in 2027. Do not change the income year simply because the calendar has changed. The exact filing or furnishing date comes from the instructions for this form and the filer circumstances. The linked target PDF is a draft. It may be used to understand the proposed layout, but it is not a form to file. Amounts or instructions still subject to completion must be checked again when the final version is released.
Records to gather for Schedule B 2026
- Interest statements.
- Dividend statements.
- Nominee or joint-owner information.
- Foreign account details.
- Foreign trust information when applicable.
Keep a working reconciliation with these records. It should show the source of each reported item, any correction made before filing and the reason a different amount appears on a connected form. This is especially useful when a statement is corrected or a prior-year balance continues into the current calculation.
How to work through Schedule B 2026
- Confirm applicability. Start with the purpose, filer category and version of the form. Complete any eligibility or applicability question before spending time on the numerical calculation.
- Prepare the source workpapers. Gather the records listed below and reconcile their totals. Keep prior-year balances, current-year transactions and estimated payments separate where they serve different purposes.
- Complete dependent calculations first. When a line refers to another form, schedule or worksheet, finish that supporting calculation first. Preserve any classification, limitation and carryforward information.
- Follow the line sequence. Use the actual line labels and arithmetic in the applicable form. A line number from an older version may refer to something different after a revision.
- Reconcile the filing package. Check names, identifying numbers, tax periods, totals and required attachments. Then use the filing method, signature process and deadline that apply to this filer and form.
Form-specific IRS instructions and reporting details
The following points retain the operative wording of the IRS documents linked above. Read each point with its stated conditions and the applicable form version. References to another form or section describe a connected requirement; they do not mean that every reader must file every referenced document.
Interest and Ordinary Dividends Part I. Interest Line 1. Report on line 1 all of your taxable interest. Taxable interest should generally be shown on your Forms 1099-INT, Forms 1099-OID, or substitute statements. Include interest from series EE, H, HH, and I U.S. savings bonds. Also include any accrued market discount that is includible in income and any gain on a contingent payment debt instrument that is includible in income as interest income. List each payer’s name and the amount. Don’t report on line 1 any tax-exempt interest. See Tax-exempt interest, later, for more information.
For more information on stated interest, original issue discount (OID), market discount, contingent payment debt instruments, and premium, see Pub. 550 and Pub. 1212. The market discount on a tax-exempt bond is taxable interest income and not tax-exempt interest.
Additional reporting conditions
Seller-financed mortgages. If you sold your home or other property and the buyer used the property as a personal residence, list first any interest the buyer paid you on a mortgage or other form of seller financing. Be sure to show the buyer’s name, address, and SSN. You must also let the buyer know your SSN. If you don’t show the buyer’s name, address, and SSN, or let the buyer know your SSN, you may have to pay a $50 penalty.
If you or the buyer do not have an SSN, use the appropriate TIN for the filer or recipient of Form 1098. For more information, see General Instructions for Certain Information Returns (2026). Nominees. If you received a Form 1099-INT that includes interest you received as a nominee (that is, in your name, but the interest actually belongs to someone else), report the total on line 1. Do this even if you later distributed some or all of this income to others.
Under your last entry on line 1, put a subtotal of all interest listed on line 1. Below this subtotal, enter “Nominee Distribution” and show the total interest you received as a nominee. Subtract this amount from the subtotal and enter the result on line 2.
Calculations and supporting information
Line 3. If, during 2026, you cashed series EE or I U.S. savings bonds issued after 1989 and you paid qualified higher education expenses for yourself, your spouse, or your dependents, you may be able to exclude part or all of the interest on those bonds. See Form 8815 at IRS.gov/ Form8815 for details.
Line 7b. If you are required to file FinCEN Form 114, list the name(s) of the foreign country or countries in the space provided on line 7b. Attach a separate statement if you need more space. Line 8. If you received a distribution from a foreign trust, you must provide additional information. For this purpose, a loan of cash or marketable securities is generally considered to be a distribution. See the Instructions for Form 3520 at IRS.gov/Form3520 for details.
If you were the grantor of, or transferor to, a foreign trust that existed during 2026, you may have to file Form 3520. Don’t attach Form 3520 to Form 1040 or Form 1040-SR. Instead, file it at the address shown in its instructions. If you were treated as the owner of a foreign trust under the grantor trust rules, you are also responsible for ensuring that the foreign trust files Form 3520-A. Form 3520-A is due on March 15, 2027, for a calendar year trust.
See the Instructions for Form 3520-A at IRS.gov/ Form3520A for details.
Exceptions and related reporting
Note: If you received a Form 1099-INT, Form 1099-OID, or substitute statement from a brokerage firm, list the firm’s name as the payer and enter the total interest shown on that form.
Note: If you received a Form 1099-DIV or substitute statement from a brokerage firm, list the firm’s name as the payer and enter the ordinary Add the amounts on line 5. Enter the total here and on Form 1040 or 1040-SR, line 3b dividends shown on that form. Note: If line 6 is over $1,500, you must complete Part III.
Reading the lines and boxes
These selected labels come from the linked target PDF. They are a reading aid, not a replacement for the full line instructions or a completed calculation. Match the label and document version before transferring any amount.
| Line or box | Label in the source form | What to check |
|---|---|---|
| 2 | Add the amounts on line 1 | Check the applicable line instructions and keep the source workpaper with the return records. Transfer only the information that matches the field and reporting period. |
| 3 | Excludable interest on series EE and I U.S. savings bonds issued after 1989. | Check the applicable line instructions and keep the source workpaper with the return records. Transfer only the information that matches the field and reporting period. |
| 4 | Subtract line 3 from line 2. Enter the result here and on Form 1040 or 1040-SR, line 2b | Follow the stated arithmetic and line references in sequence. Complete the referenced inputs first and retain the worksheet supporting the result. |
A practical example
A taxpayer receives statements from several institutions and has a foreign financial account. The taxpayer reconciles the income totals and separately reviews the foreign-information questions and any other filing requirements that the facts may trigger.
This example illustrates the order of the review. It does not assume an unverified deduction, exemption, treaty rate or final tax amount. The applicable form instructions and the actual records determine the result.
Common mistakes to avoid with Schedule B 2026
- Separate interest from dividend reporting.
- Do not skip the foreign questions because no extra tax appears to be due.
- Reconcile the schedule totals to the main return without counting qualified dividends twice.
Questions about Schedule B 2026
Does receiving or downloading this form mean I must file it?
An individual completes the schedule when the interest, dividend or other reporting conditions in the instructions apply. The form purpose and the applicable filing or furnishing conditions determine the action. Downloading a blank PDF does not itself create a filing obligation or establish eligibility for a tax benefit.
Can I file the draft PDF?
No. The linked target is marked as a draft. Use it to understand the proposed layout and prepare records, but wait for the applicable final filing version. Check the IRS source again before using any year-specific amount, worksheet or filing instruction.
What should I do if the underlying information is wrong?
Separate interest from dividend reporting. Keep the original record and the correction trail. The issuer correction process, an amended return and an updated certificate can be different procedures. Choose the process that matches the document and the actual error.
Which records should I keep with the completed form?
Retain the source documents, applicable worksheets, submitted version and filing or furnishing confirmations. For this form, the working file should include interest statements, dividend statements, nominee or joint-owner information. Keep continuing balances and prior-year support for as long as they remain relevant under the applicable recordkeeping rules.
Related forms and next steps
Use these guides when the connected issue applies to your records. Each page has its own purpose, reporting year and availability status.