Reporting Tribal Per Capita Distributions on Your Tax Return


If you are a member of a federally recognized tribe, you may receive taxable distributions from your tribe. The tribe must report these distributions to the IRS and to you on Form 1099-MISC.

If you are expecting a refund, make sure you correctly prepare your federal tax return to avoid a delay. Make sure you include information from your Form 1099-MISC. Follow these instructions when filing your federal income tax return:

  • Use Form 1040.
  • Enter tribal distributions from Form 1099-MISC, Box 3 on Line 21, Form 1040 Schedule 1.
  • Include a description of the income in the space provided on Line 21.
  • Use the correct description to make sure your tax return goes through processing without delays. For paper or e-file returns, please enter one of the following descriptions on Line 21:
  • Spell the descriptions exactly as listed above. For example, if you spell out distribution rather than using distrib, the IRS may reject your return and delay your refund.

If you receive a notice, which would delay your refund, respond to it in a timely manner. Do not ignore it.

The IRS’s hard work to protect taxpayers from fraud and identity theft has sometimes delayed refunds for Tribal members. Although this diligence has affected everyone, ITG has gotten involved. Following these instructions, will help the IRS expedite your return – and any refund you should receive.