Tax was withheld from the interest paid to me. Why did that happen?

Some investors may see an amount in Box 4, Federal Income Tax Withheld. This reflects federal tax that was withheld and deposited with the IRS. There are several reasons why Upstart was required to withhold federal tax from your interest income. Upstart may not have a Form W-9 on file containing your name and certifying your tax identification number or social security number. The IRS may have notified Upstart and you that withholding is required due to underreported income in the past. The IRS may have notified Upstart that the name and taxpayer identification number or social security number we have on file do not match the IRS records. We would have sent you a notice requesting a new Form W-9 to correct any errors. If we did not receive an updated Form W-9, Upstart is required to withhold tax.

Any federal tax withheld from your interest income should be reported on your federal income tax return and is treated as an advance tax payment. You should consult your personal tax advisor for further information.

Was this article helpful?

Can’t find what you’re looking for?

Our award-winning customer care team is here for you.