What Is IRS Form 1099-PATR?
IRS Form 1099-PATR (Taxable Distributions Received from Cooperatives) is used by cooperatives to report patronage dividends and other distributions paid to members. If a member receives more than $10 in patronage dividends or similar allocations, the cooperative must issue Form 1099-PATR.
The form also reports any federal income tax withheld under backup withholding rules (typically 24%).
👉 See how our 1099-PATR filing software can help you prepare and file quickly.
Who Must File Form 1099-PATR?
Most cooperatives must issue a 1099-PATR to each member who received qualifying patronage dividends or allocations. However, certain cooperatives that only provide services for personal or family use may qualify for an exemption.
If you’re unsure whether your cooperative must file, consult IRS guidance or a tax professional.
How to Fill Out IRS Form 1099-PATR (Box by Box)
The form has 10 boxes, each with specific reporting details:
-
Account Number: A unique number the cooperative uses to track the member.
-
Box 1: Patronage dividends paid during the year.
-
Box 2: Nonpatronage dividends.
-
Box 3: Per-unit retain allocations.
-
Box 4: Federal income tax withheld or backup withholding.
-
Box 5: Redemption of nonqualified notices and retain allocations.
-
Box 6: Domestic production activities deduction.
-
Box 7: Unused investment credit passed through to a member.
-
Box 8: Unused work opportunity credit passed through.
-
Box 9: Alternative Minimum Tax (AMT) adjustment.
-
Box 10: Other unused credits and deductions (including depreciation).
Filing Deadlines
-
Copy B (to members): Must be furnished by January 31.
-
Copy A (to IRS): Must be filed with Form 1096 by February 28 (paper) or March 31 (e-file).
Electronic filing is required if you submit 10 or more forms.
👉 Use 1099fire software to simplify e-filing and meet IRS compliance requirements.
How 1099fire Can Help
Filing Form 1099-PATR can be complex if you’re managing multiple members and dividend categories. 1099fire makes the process easy:
-
1099-PATR software for preparing and printing forms.
-
E-file service directly with the IRS FIRE/IRIS system.
-
Error-checking to reduce costly rejections.
-
Generate and distribute member copies electronically or by mail.
Visit 1099fire.com to handle all your cooperative reporting needs.
Key Takeaways
-
IRS Form 1099-PATR reports patronage dividends and allocations over $10.
-
Cooperatives must issue forms to members and file with the IRS.
-
Filing deadlines: January 31 (members), February 28/March 31 (IRS).
-
1099fire software makes reporting simple, accurate, and IRS-compliant.