IMPORTANT TAX INFORMATION

Transcription

1 IMPORTANT TAX INFORMATION Dear Hartford s Shareholder: The following information about your enclosed 1099-DIV from Hartford s should be used when preparing your 2016 tax return. The information on Form 1099-DIV will be reported to the Internal Revenue Service. The form provides instructions for using the information to prepare your 2016 tax return. Form 1099-DIV reports dividends, exempt-interest dividends, capital gains, and return of capital distributed by Hartford s for the calendar year Dividends and capital gains that were reinvested into additional shares, as well as those paid in cash should be reported on your tax return. s within your account that received less than $10.00 in dividends are not reported on your Form DIV, but must be included on your tax return. These dividend amounts can be found in the detail of your annual account statement. If any income tax is withheld from your distribution it will be reported in box 4 for federal withholding or box 14 for your state withholding. Short-term capital gains are reported in Box 1a, and are subject to ordinary income tax rates. Long-term capital gains are reported in Box 2a, and qualify for long-term capital gains tax rates. Return of capital distributions are reported in Box 3 (Nondividend distributions) and are not taxable. Cost basis must be adjusted as a result of a return of capital reported in Box 3. Additional information is available on our website at Qualified Dividend Income information can be found in the schedule on page 2-3. Foreign Tax information can be found in the schedule on page 4. Direct Federal Obligations,, and Repurchase Agreements information can be found in the schedule on page 5. The information provided in these materials has been included for your reference and is not intended to be all inclusive. For specific tax questions, please consult your tax advisor. Hartford s does not offer tax advice. Shareholders should consult a tax advisor for additional information. This information is provided for informational purposes only. If you have other questions about your tax information, please call a service specialist at (888) Office hours are 9 a.m. to 6 p.m. Eastern Time. You may also visit our Tax Center at Mutual funds are distributed by Hartford s Distributors, LLC (HFD), Member FINRA. Hartford s Management Company, LLC (HFMC) is the mutual funds investment manager. Certain funds are sub-advised by Wellington Management Company LLP or Schroder Investment Management North America Inc. Schroder Investment Management North America Ltd. serves as a secondary sub-adviser to certain funds. HFD and HFMC are not affiliated with any fund sub-adviser

2 Qualified Dividend Income Shareholders in the following s may be eligible for a reduced tax rate on certain qualified dividends. The portion of the dividend income that qualifies for a reduced tax rate is reported separately in Box 1b, and is also included in the total ordinary dividend amount in Box 1a. Dividends that are not qualified dividends are taxed at the appropriate tax rate for ordinary income. Amounts designated as qualified dividend income under the Internal Revenue Code are: Qualified Dividend The Hartford Balanced % The Hartford Balanced Income 52.55% Hartford Checks and Balances 69.96% Hartford Conservative Allocation 38.70% The Hartford Capital Appreciation % The Hartford Core Equity % The Hartford Dividend & Growth % Hartford Duration Hedged Strategic Income 0.12% The Hartford Emerging Markets Equity % Hartford Schroders Emerging Markets Equity 84.91% Hartford Environmental Opportunities 62.25% The Hartford Equity Income % The Hartford Floating Rate 1.70% The Hartford Floating Rate High Income 6.67% The Hartford Global All-Asset 74.53% The Hartford Global Alpha 0.27% Hartford Global Capital Appreciation % Hartford Global Equity Income % Hartford Global Real Asset % Hartford Growth Allocation % The Hartford High Yield 1.11% Hartford Schroders Income Builder 29.75% Hartford International Equity % The Hartford International Growth % Hartford Schroders International Multi-Cap Value 93.59% The Hartford International Opportunities % The Hartford International Small Company % Hartford Schroders International Stock % The Hartford International Value 70.97% The Hartford MidCap Value % Hartford Moderate Allocation 86.66% 2

3 Qualified Dividend Income (continued) Shareholders in the following s may be eligible for a reduced tax rate on certain qualified dividends. The portion of the dividend income that qualifies for a reduced tax rate is reported separately in Box 1b, and is also included in the total ordinary dividend amount in Box 1a. Dividends that are not qualified dividends are taxed at the appropriate tax rate for ordinary income. Amounts designated as qualified dividend income under the Internal Revenue Code are: Qualified Dividend Hartford Multi-Asset Income 39.18% Hartford Small Cap Core % The Hartford Strategic Income 0.10% The Hartford Unconstrained Bond 0.14% Hartford Schroders US Small Cap Opportunities % Hartford Schroders US Small/Mid Cap Opportunities % The Hartford Total Return Bond 0.06% The Hartford Value Opportunities % 3

4 Foreign Tax The s elected to give shareholders the benefit of the applicable foreign tax credits. The ordinary dividend amount in Box 1a of Form 1099-DIV includes your proportionate share of foreign taxes paid by the fund in addition to your income dividend. Your proportionate share of foreign taxes paid by the fund also appears in Box 6. You may treat these taxes as if paid by you and you are potentially eligible for a tax credit or deduction on your tax return. Tax reporting rules vary depending on the size of the foreign tax credit or deduction claimed. In some cases, it is necessary to identify the foreign taxes paid by country this detail can be obtained from the contact center. However, we strongly encourage you to consult with your tax advisor. Foreign Source Income and Foreign taxes paid are listed below for Foreign Source Income Percentage Foreign Taxes Paid Per Share Amount The Hartford Conservative Allocation 5.20% $ The Hartford Emerging Markets Equity 99.77% $ Hartford Schroders Emerging Markets Equity 99.28% $ Hartford Global Equity Income 63.68% $ Hartford Global Real Asset 64.79% $ Hartford Growth Allocation 21.51% $ Hartford International Equity 98.78% $ The Hartford International Growth 99.28% $ Hartford Schroders International Multi-Cap Value (March ex-date) 99.77% $ Hartford Schroders International Multi-Cap Value (June ex-date) 99.77% $ Hartford Schroders International Multi-Cap Value (September ex-date) 99.77% $ Hartford Schroders International Multi-Cap Value (December ex-date) 99.77% $ The Hartford International Opportunities 99.16% $ The Hartford International Small Company 99.76% $ Hartford Schroders International Stock 99.32% $ The Hartford International Value 74.96% $ Hartford Moderate Allocation 13.17% $

5 Direct Federal Obligations,, Repurchase Agreements Under certain state laws, dividends paid by a regulated investment company that are derived from income from direct federal obligations, government agencies, and repurchase agreements may not be taxable to residents of that state. Please consult your tax advisor to determine which, if any, of the obligations listed below may be exempt from your state income tax. s with income from direct federal obligations, government agencies, or repurchase agreements are: Direct Federal Obligations FNMA GNMA FHLMC & Others Repurchase Agreements The Hartford Balanced 8.75% 0.45% 0.42% 0.37% 0.00% The Hartford Balanced Income 0.03% 0.02% 0.00% 0.00% 0.00% Hartford Schroders Emerging Markets Multi-Sector Bond 0.04% 0.00% 0.00% 0.00% 0.00% The Hartford Global All-Asset 2.36% 5.00% 0.20% 1.67% 0.00% The Hartford Global Alpha 12.60% 0.59% 0.00% 0.00% 0.00% Hartford Global Real Asset 3.38% 0.00% 0.00% 0.00% 0.00% Hartford Schroders Global Strategic Bond 6.10% 0.00% 0.00% 0.00% 0.00% Hartford Schroders Income Builder 2.57% 0.00% 0.00% 0.00% 0.00% The Hartford Inflation Plus 68.50% 1.36% 0.00% 1.72% 0.00% Hartford Multi-Asset Income 0.53% 0.10% 0.00% 0.00% 0.00% The Hartford Quality Bond 1.12% 14.75% 5.08% 17.41% 0.00% The Hartford Short Duration 0.00% 4.86% 0.19% 1.93% 0.00% The Hartford Strategic Income 2.73% 0.28% 0.00% 0.03% 0.00% Hartford Schroders Tax-Aware Bond 6.82% 0.00% 0.00% 0.00% 0.00% The Hartford Total Return Bond 5.90% 5.31% 3.04% 3.95% 0.00% The Hartford Unconstrained Bond 2.21% 4.88% 2.72% 3.91% 0.00% Residents of All States/Territories In using the above table, we strongly encourage you to consult with your tax adviser for advice in helping you determine your state tax liability. For California, Connecticut and New York Residents The Hartford Inflation Plus held more than 50% in direct federal obligations. The remaining Hartford and Hartford Schroder s listed above held less than 50% of assets in direct federal obligations at the end of each quarter. 5