Federal tax due on matured E bonds.
Since taxes are due the year E bonds mature, (30yrs), not when they are cashed, what happens in the case of forgotten E bonds? Will there be interest and penalties due for the years between maturity and cashed in years? BLW
Terry Says
You’ll receive a 1099 in the year the bonds are cashed, and that is the year taxes are due. It’s just that old bonds no longer continue to accrue interest, which is why you should cash them in. But there are literally billions of old bonds outstanding, some lost, some forgotten. I’m about to write a column on how to find them!
