oldgray
Returning Member

Unable to complete my 1041 for 2016 the capital gains were only distributions from mutual funds but the worksheet assumes stock sales how do I handle?

I am using turbotax business for 2016.  On schedule d I am stuck as the program assumes a stock sale but these gains are from mutual fund distributions.  How do I handle this?  

Investors & landlords

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Investors & landlords

If you only had capital gains distributions from mutual funds (such as would be shown on a 1099-DIV), and no other investment sales, then do the following:

 

1) Click the Federal Taxes tab, click Income, and then click the Start (or Update) button. [see first screenshot]

 

2) Click the Delete button to the right of Institution Name and then click the Done button [see second screenshot]

 

3) Enter Forms Mode by clicking the Forms icon in the upper right side of the screen, locate the Capital Gains and Losses Smart Worksheet on Schedule D, uncheck relevant boxes and clear any information that might have been entered on the worksheet. [see third screenshot]

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Investors & landlords

Keep in mind that the 2016 forms are still in their infancy.

Investors & landlords

That is absolutely correct; the 2016 forms are not yet ready to be filed. Regardless, the situation in this instance was almost certainly caused by an operational error, which should be rectified by following the foregoing instructions.