1. ​​What is a U.S. savings bond?
   
   
2. How did the Wisconsin Department of Revenue (DOR) get the bonds?
   
   
3. How do I claim a savings bond that is listed in the unclaimed property database?
   
   
4. How do I cash a U.S. savings bond?
   
   
5. Do I need to pay state or federal taxes on the interest income earned on the bond?
   
   

1. What is a U.S. savings bond?

   U.S. savings bonds are non-marketable securities issued by the United States Treasury Department, typically identified by a series, such as EE, I, H, HH, Patriot Bonds, WWII War Bonds, etc. They are also considered a registered security, which means the person or beneficiaries named on the bond are the registered owners.

2. How did the Wisconsin Department of Revenue (DOR) get the bonds?

   The bonds were reported to DOR as part of an abandoned safe deposit box. Wisconsin's unclaimed property law requires financial institutions to turn the contents of the box over to DOR after five years of no contact with the owner.

3. How do I claim a savings bond that is listed in the unclaimed property database?

   If you are the registered owner of the safe deposit box, you can search your name in our database and submit a claim with all required documentation for your bond(s). If there are any fees owed to the bank that turned over the safe deposit box (e.g., drilling fees and back rent owed), you must pay the fees in full before any property, including U.S. savings bonds, can be released to you. You will receive a letter with the amount of fees owed and instructions on how to pay the fees. Once the fees have cleared, your bonds will be sent to you via currier.

4. How do I cash a U.S. savings bond?

   Most financial institutions are authorized redemption agents designated by the U.S. Treasury Department. However, some bonds may have to be submitted to a Federal Reserve Bank to receive payment. Please visit the U.S. Treasury Department website at www.treasurydirect.gov for bond status and value calculators and other comprehensive information regarding U.S. savings bonds.

5. Do I need to pay state or federal taxes on the interest income earned on the bond?

   Because U.S. savings bonds are issued by the federal government you do not have to pay state tax or local taxes on the earned interest on your Wisconsin income tax return. However, all the accumulated interest on U.S. savings bonds is taxable for federal income tax purposes in the tax year they mature and must be reported on your federal income tax return. You will receive a Form 1099-INT tax notice in the tax year that the U.S. savings bonds are redeemed. Even if you do not receive a tax statement or Form 1099 you are still responsible for reporting all taxable interest income on your tax return. The IRS is notified electronically of all interest paid by financial institutions to bond holders. If you do not include your interest income on your tax return, you will be notified by the IRS, usually by mail, of the amount of additional tax, interest, and penalties you owe.

Applicable Laws and Rules

This document provides statements or interpretations of the following laws and regulations enacted as of October 12, 2023: sec. 71.05, ch. 177, Wis. Stats., sec. Tax 3.095, Wis. Adm. Code, and 31 U.S. Code § 3124.

Laws enacted and in effect after this date, new administrative rules, and court decisions may change the interpretations in this document. Guidance issued prior to this date, that is contrary to the information in this document is superseded by this document, according to sec. 73.16(2)(a), Wis. Stats.

The department welcomes your input on our guidance. Submit comments on this guidance document.

Guidance Document Number: 100087

October 12​, 2023