Apparently that’s not the correct way to do it. The correct way according to IRS is to enter the amount you want to reclassify on line 4g in form 4952. Just modifying what’s on the 1099-DIV doesn’t result in an entry in line 4g on form 4952 and none of the options on the screens after entering the 1099 -DIV do that either. I spent 2 hrs on the phone with a TT tax preparer expert who also tried several other methods and couldn’t get it to work. There just isn’t a provision on the online software to make anything appear on line 4g in form 4952. Quite a glaring flaw in my opinion and something that needs to be fixed, but getting to the right person or team in TurboTax to influence that seems like an impossibility.
