My 1099-div shows on line 3 that i did have money on it, but it says it is a nondividend distribution do I show the amount on my return?
just please let me know if i shoe the amount on my return. z
02473
1 Best answer
IreneS
Intuit Alumni
Jun 6, 2019 1:43:02 AM
SuperUser Hal_Al addresses this issue very well:
Nondividend distributions do not go anywhere on your actual tax return. Box 3 is for your information. Box 3 is a "return of capital". That is, you have been given back part of your original investment. As such, you reduce you cost basis, by the box 3 amount, in your own records, for when this investment (typically stock or mutual fund) is sold in the future.
2 Replies
IreneS
Intuit Alumni
Jun 6, 2019 1:43:02 AM
SuperUser Hal_Al addresses this issue very well:
Nondividend distributions do not go anywhere on your actual tax return. Box 3 is for your information. Box 3 is a "return of capital". That is, you have been given back part of your original investment. As such, you reduce you cost basis, by the box 3 amount, in your own records, for when this investment (typically stock or mutual fund) is sold in the future.
nflorenz10
New Member
Mar 26, 2020 10:17:02 AM
WHERE DO i HAVE TO ADD LINE 3 ON THE DIVIDENDS SECTION OF MY TAX RETURN