"Turbo tax is not calculating any tax due?"
That is because TurboTax needs more information.
Liquidating distributions are not taxable until you have recovered your basis and TurboTax needs your basis for make the calculation.
This type of distribution may or may not be taxable based on your particular circumstances. Proceeds from a cash liquidation distribution can be either a non-taxable return of principal or a taxable distribution, depending upon whether or not the amount is more than the investors' cost basis in the stock. In other words, these distributions are, at least in part, one form of a return of capital. Proceeds from cash liquidation distributions are reported on Form 1099-DIV.
Hello, I am confused on how to come up with a cost basis for a privately owned company.
The 1099 cash liquidation distribution is only 400.00 any suggestions how I can tell what
is non taxable vs taxable. Turbo keeps asking for me to review and add $ in the "total
ordinary divd Box 1a ? Please advise..