Why do puerto rican residents get form 1099-b and how do you report on us 1040

At this time, Puerto Rico is a U.S. protectorate that has its own income tax, so residents of Puerto Rico do NOT use Form 1040.

Form 1099-B is used to report Barter and Broker Exchange Transactions, WHERE it is reported on Form 1040 depends on the nature of the exchange. If the items exchanged is a capital asset, such as stock, it would be reported on SCHEDULE D.

If it is BARTER income, it may be reported on Schedule C as self-employment income, or on Line #21 of For 1040 as "other" income, with the amount declared (over $600 for SCH C, under $600 for "other income") dictating which method is used.