@GeorgeM777
Appreciate the quick response. I understand that f I had qualified dividends, I can elect to have them be ordinary instead so that I can use them to offset the investment interest expenses as an itemized expense.
Investment interest expenses are from a loan taken out to purchase company stock. Qualified dividends are from the stocks purchased.
Not sure how this would be done with the turbotax online version. Would I enter the qualified dividends that I want to designate in the "Net investment income" section?
Below is the source of what I want to accomplish. Thank you.
Qualified dividends that receive preferential tax treatment aren't considered investment income for purposes of the investment interest expense deduction. However, you can opt to have your qualified dividends treated as ordinary income.
In the right circumstances, electing to treat qualified dividends as ordinary dividends can increase your investment interest expense deduction, which could allow you to pay 0% tax on the dividends instead of the 15% or 20% tax that qualified dividends normally receive.
https://www.schwab.com/learn/story/investment-expenses-whats-tax-deductible#:~:text=Qualified%20divi....
