Yes, you have to report the dividend income even though you didn't sell the stock. When you don't take the dividends as a distribution, it's re-invested but you still have to report it. If you don't report it, you may receive a letter from the IRS and they will recalculate your income if you didn't report it.
Refer to the TurboTax Hep articles Where do I enter my 1099-DIV in TurboTax Online? and What Is IRS Form 1099-DIV: Dividends and Distributions? for more information.
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