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byousey
New Member

I'm entering my 1099 DIV into turbo Tax Free. It asked me if anyother boxes has entries. My box 11 had an entry. Do I pay tax on this amount?

it didn't answer my question
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4 Replies
RayW7
Expert Alumni

I'm entering my 1099 DIV into turbo Tax Free. It asked me if anyother boxes has entries. My box 11 had an entry. Do I pay tax on this amount?

Exempt-interest dividends are not subject to federal income tax however they may be subject to state income tax or the Alternative Minimum Tax (AMT). The exempt dividend income must be reported on your tax return.

 

Please follow the directions below to enter the information from box 11 of form 1099-Div.

  1. Log in and click take me to my return (unless already in).
  2. Click the Federal tab on the left side of the screen.
  3. On the next screen, scroll down and click Edit next to the form 1099-Div that you need to edit.
  4. Check the box located just below Box 1b, Qualified Dividends that says, "My form has info in more than just these boxes (this is uncommon)".
  5. You should now have a box 11 to input your information.

I'm entering my 1099 DIV into turbo Tax Free. It asked me if anyother boxes has entries. My box 11 had an entry. Do I pay tax on this amount?

Hi.

I also have information on Box 11, which then triggers the question in the next screen if "A portion of these dividends is U.S. Government interest". Should I flag that as YES?

Looking at my detailed statement, I found two securities identified as Tax-Exempt:

* SPDR SER TR NUVEEN BRC MUN IC <<< followed by a % for every single US state

* VANGUARD MUN BD FDS TAX EXEM PT BD <<< followed by a % for every single US state

 

 

JamesG1
Expert Alumni

I'm entering my 1099 DIV into turbo Tax Free. It asked me if anyother boxes has entries. My box 11 had an entry. Do I pay tax on this amount?

If you click A portion of these dividends is US Government interest you will enter the US Government interest at the next screen.

 

At the screen Tell us more about your exempt-interest dividends, you may be able to click Multiple States in the drop down boxes if you have multiple states to report.

 

States vary widely on taxing exempt-interest dividends.

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TodS
Level 2

I'm entering my 1099 DIV into turbo Tax Free. It asked me if anyother boxes has entries. My box 11 had an entry. Do I pay tax on this amount?

@faustoruizm 

The question is not about states paying interest.  It is about the US govt paying interest.  Tabulation I rec'd from Vanguard does not show a Muni Bond fund receiving US govt interest.  Don't know about the Nuveen fund.   

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