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 Form 1040 Schedule 1, Additional Income and Adjustments to Income. Use Line 8 Other Income, z. Other Income. List type and amount.
- Include a description of the income in the space provided on the line for Other Income. List the type and amount.
- Use one of the three descriptions below to make sure the tax return is processed without delays:
- INDIAN GAMING PROCEEDS
- INDIAN TRIBAL DISTRIB
- NATIVE AMERICAN DISTRIB
- 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.
Note: If you receive a notice, which would delay your refund, respond to it in a timely manner. Do not ignore it.