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March 24, 2023
Question

Is a Capital Credit refund from electric company considered a dividend?

  • March 24, 2023
  • 1 reply
  • 0 views
I did not get a 1099,  would I consider
 this refund a 1099

1 reply

March 24, 2023

A capital credit refund is more like a patronage dividend, which is not a return on investment. Instead, it represents a rebate on the member's purchases from the co-op during the previous fiscal year.  As such, they are not taxable income to you.