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Returning Member
posted Apr 28, 2021 9:05:10 AM

How do I access schedule B of form 1040 to subtract Nominee Distribution of interest reported on schedule k-1 that is overstated per irs instructions?

According to irs, I should subtotal my interest in line 1, write “Nominee distribution” with the amount of interest that is not mine, and subtract it from total in line 2.

0 5 1086
5 Replies
Level 15
Apr 28, 2021 9:07:34 AM

Here's how to split the 1099Int for Nominee Interest. Enter a 1099-Int under
Federal Taxes tab
Wages & Income
Interest and Dividends
Interest on 1099-INT - Click the Start or Update button

Whoever's ssn is on the 1099 enters the whole amount on their return. Then after you enter it, on the next page it will ask
Tell us if any of these uncommon situations Apply and pick the first one, We need to adjust the taxable amount.

 

Then on the next page fill in the amount as a POSITIVE number and pick the first Reason "I received all or part of this interest for someone else".

 

Then on the other person's return you enter it as a 1099Int and put their amount in box 1.

Level 15
Apr 28, 2021 9:08:13 AM

Oh, sorry.  I missed you said it is from a K-1.  Don't know about that one.  

Returning Member
Apr 28, 2021 9:11:52 AM

Maybe that’ll still work. It should all end up on schedule B whether from 1099 or schedule k-1 (1040). Thanks

Returning Member
Apr 28, 2021 9:26:48 AM

Nope it didn’t work. Is there anyway to access forms and override turbotaxes questionnaire?

Level 15
Apr 28, 2021 9:48:28 AM

Only in the Desktop program.  It has the Forms Mode.  So call in and maybe they will know how to enter it.  Or maybe you can just reduce the K-1 entry?  

 

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