What information does Form 1099 report?

Form 1099 is used to report various types of income that individuals and businesses receive throughout the year, other than wages, salaries, and tips which are reported on Form W-2. The different types of Form 1099 include, but are not limited to, 1099-INT for interest income, 1099-DIV for dividends, 1099-G for certain government payments, and 1099-MISC for miscellaneous income, which can include payments for services and rent among other things.

This form serves to inform both the taxpayer and the IRS about income that may not be subject to withholding, thereby ensuring all taxable income is reported accurately. Therefore, the selection highlighting investment income and other types of income captures the broad scope of reporting covered by Form 1099, making it the correct choice.