Deferred Compensation – Tax Status and Tax Forms

Co-op Account Management

Does Homestead Funds create tax forms for deferred compensation accounts?

Cooperative deferred compensation plan accounts are established as nontaxable with Homestead Funds. This means that we will not produce a 1099-Div or 1099-B for the cooperative for these accounts annually unless you inform us that you should receive the tax form. If your cooperative is a taxable entity and you need tax forms produced for the cooperative, you can update the tax status with Homestead Funds by completing the Deferred Compensation Account Maintenance Form.

Because the accounts are owned by the cooperative and established under the cooperative tax identification number, tax forms are only produced for the cooperative. Homestead Funds does not produce tax forms on deferred compensation accounts for the participant.