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New Member
posted Jun 6, 2019 5:28:18 AM

Is it correct when filling the dividend income to put the amount in box 1a and 2a on the form? Do I have report it as a dividend and capital gains?

My 1009-R has a gross distribution in box 1 (there is no a or b) and the taxable amount in box 2a. Filling the dividend income is telling me to put the amount in box 1a and 2a on the form. Is that correct? I thought I just had to report it as a dividend and not as capital gains too.

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1 Best answer
New Member
Jun 6, 2019 5:28:21 AM

If you have an amount in both boxes, it does not mean your dividend is being double counted.  The amount in box 2a is showing you the portion of your gross dividends that can be taxed at a capital gains rate rather than at the ordinary income rate.  The capital gains amount may be equal to to or lowerthan the gross amount, but not greater.

11 Replies
Level 15
Jun 6, 2019 5:28:19 AM

1099-R or 1099-Div; which do you have?

New Member
Jun 6, 2019 5:28:21 AM

If you have an amount in both boxes, it does not mean your dividend is being double counted.  The amount in box 2a is showing you the portion of your gross dividends that can be taxed at a capital gains rate rather than at the ordinary income rate.  The capital gains amount may be equal to to or lowerthan the gross amount, but not greater.

New Member
Jun 6, 2019 5:28:23 AM

It just seems that you are getting taxed twice, since the amount is on lines 9a and 13 of the 1040. And it makes the AGI higher.

New Member
Jun 6, 2019 5:28:24 AM

The AGI should be higher by the amount of the dividend because it is part of your AGI regardless of whether the tax on it is calculate according to capital gains rates or regular income rates.  The capital gains portion should show on line 9b.  If that's not the case, go back to the dividend section under income and delete the one you entered and try entering it again.

Level 15
Jun 6, 2019 5:28:26 AM

"The capital gains portion should show on line 9b"? You mean the qualified dividends (which are taxed at cap gain rates)?

New Member
Jun 6, 2019 5:28:27 AM

Yes, thanks

Level 15
Jun 6, 2019 5:28:29 AM

The poster appears to be trying to enter a 1099-R at the  1099-Div screen.  Or otherwise has the two mixed up.

New Member
Jun 6, 2019 5:28:30 AM

rwg-is Hal-Al correct, are you trying to enter a 1099-R and not a 1099-DIV?

New Member
Jun 6, 2019 5:28:32 AM

The only way for the amount to show up on line 9b is to put it in as a qualified dividend in box 1b of the turbo tax dividend income, but my 1099-R just has a box 1 (no a or b). And when I do that my federal return increases.

New Member
Jun 6, 2019 5:28:33 AM

Yes, it seems Hal was correct about the 1099-R. I had to check the substitute box in order to get the form I needed to fill out. Thanks

New Member
Jun 6, 2019 5:28:35 AM

Then.if you entered it under 1099-DIV you would have to go back and delete that form altogether and enter it again under the retirement income section, 1099-Rs.