Non Dividend Distribution is NOT calculated for taxes? Sort of ... it is not directly entered in the program in the dividend section which is why you don't see a place to enter it. However ... if you have received more in non dividend distribution ( ie return of capital) then you will report this as a sale with no basis.
For instance if you have a stock with $100 basis and you get $120 in non div dist then you reduce your basis to zero and report the $20 excess as cap gain on the Sch D using the $20 as the sales price and zero for the basis. Then when you finally sell the stock you have no basis any longer.
