I’m using TurboTax Desktop 2024 and entering a 1099-DIV from Charles Schwab with:
- Box 1a: $3,219.56
- Box 1b: $818.84
- Box 2a: $2,172.39 (capital gain distribution)
TurboTax is correctly including the Box 2a amount on Form 1040, line 7, but it is also including it on Schedule D, line 13, which causes it to be double-counted in the Qualified Dividends and Capital Gain Tax Worksheet.
This results in overstating my long-term capital gains and increases Form 1040, line 16 by $1,185 more than it should.
I did not make any overrides or forced edits. I followed the interview and forms mode properly, and TurboTax confirms that the return is eligible for e-filing without any red flags.
My goal is to file an accurate return through e-file, but TurboTax seems to lack the option to prevent Box 2a from flowing to Schedule D when that amount is already reported on 1040 line 7.
Question:
How can I properly enter a 1099-DIV Box 2a amount so that it appears on 1040 line 7 without also being added to Schedule D?
