turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
Announcements
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

051267944
Returning Member

What is tax rate for ..Non dividend distribution ,same for section 199a dividends. ?

 
Connect with an expert
x
Do you have an Intuit account?

Do you have an Intuit account?

You'll need to sign in or create an account to connect with an expert.

1 Best answer

Accepted Solutions

What is tax rate for ..Non dividend distribution ,same for section 199a dividends. ?

The tax rate is zero provided you have sufficient basis.

 

Nondividend distributions are a return of capital and not taxable; the distribution merely reduces your basis. To the extent the distribution exceeds your basis, you have capital gain (taxable at capital gain tax rates).

View solution in original post

1 Reply

What is tax rate for ..Non dividend distribution ,same for section 199a dividends. ?

The tax rate is zero provided you have sufficient basis.

 

Nondividend distributions are a return of capital and not taxable; the distribution merely reduces your basis. To the extent the distribution exceeds your basis, you have capital gain (taxable at capital gain tax rates).

message box icon

Get more help

Ask questions and learn more about your taxes and finances.

Post your Question
Manage cookies