1099 From AmEx Referrals!

DOC, Miles Talk, and reddit are all reporting 1099s being issued for AmEx cash based referrals as well as points earned for referrals.

I am getting multiple letters from AmEx today marked important tax information. These are all reporting to myself and the IRS on bonuses earned at 1 cent per point. So that 15,000 MR bonus for referring your friend means you just made $150 taxable income from AmEx. The letters look like this:

Initially I thought they were counting the $550 waiver was being reported, but it appears to be taxes on the bonus earned. This is how they are valuing each point referred:

  • Amex Membership Rewards: 1 cent per point
  • Marriott (new): 1 cent per point
  • Hilton: 0.67 cents per point
  • Delta: 1 cent per point

Looks like were gonna have to do some withholding next year in anticipation of a bountiful referral year!

-Derp

11 thoughts on “1099 From AmEx Referrals!

  1. Stephen Curtis says:

    That would suck…….

  2. Nicholas says:

    Reports on Doctor of Credit are that they’re for referral bonuses with each point pegged at a specific value.

  3. C F Frost says:

    Got a 1099 from AmEx for $200. Unclear what the valuation is on points but I had at least 2 referrals through friends and 3 self referrals.

  4. Dan says:

    Darn that sucks. Quick question for you, Derp. Have you heard of any more data points for civilian spouses in Florida having their AMEX annual fees waived/or not? I would not want to have my better half get an AMEX only to have the big annual fee hit.

    Thanks for all of your great information!!

    • uiucderp2011 says:

      Unfortunately it looks like anyone from Florida does not get spousal coverage for the fee waivers form AmEx at least.

  5. Jake says:

    Thankfully it looks like Hilton is only .67 cpp now

  6. Ryan says:

    Just got mine today: 50k MR + 20K HH = $634. Ouch…

    Derp, I’m curious how much you made. Willing to divulge?

  7. […] that I received a stack of 1099-MISCs from AmEx, DerpReport has become a legitimate business with reportable income! Wooo!! Next step is office […]

  8. RWHR says:

    Dang. Received over 3k in 1099s from chase/amex today in mail. That was a lot more than i was expecting. This new refer yourself amex thing has really made it easier to rack this things up…

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