TurboTax Premier won't let me enter the total ordinary dividends because they are lower than my qualified dividends. Example: $100 total ordinary dividends and $100 of that is qualified dividends. But I received $100 non dividend distribution that reduces my total ordinary dividend down to $0 but my qualified dividends are still at $100, according to my 1099-div form from broker. Is this right or should the $100 non dividend distribution be subtracted from qualified dividends as well?
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The non-dividend distributions should not be included in ordinary dividends. Based on your scenario, on your 1099-DIV, you should have $100 in Box 1a, $100 in Box 1b, and $100 in Box 3. If you have something else, there is an error on your 1099-DIV. I would enter it the way I described. If you receive a letter from the IRS, you can respond with the detail of the dividend activity from your 1099-Composite.
The way it’s listed and calculate don the copy I received is as separate transactions. With the non dividend as a negative value in the total ordinary dividends. So transaction 1 is $100 total ordinary, $100 qualified. Then another transaction below that that shows $100 in non dividend, but -$100 in total ordinary. So the totals come up to 0 total ordinary, 100 qualified, 100 non-dividend. Making box 1a 0 and box 1b 100. Which i know is not possible. Do I just sum the positive numbers for the sum total ordinary?
That's what I would do. By definition, you can't have $100 of qualified dividends unless you have at least $100 or ordinary dividends.
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