topic Re: 1099 DIV adjustment in Get your taxes done using TurboTax

1099 DIV adjustment

reg7040 — Wed, 23 Apr 2025 22:17:01 GMT

Do I need to file an amended return for a roughly $250 increase in Qualified Dividends, on line 1b, as a result of a late (4-16-25) correction sent over from my brokerage firm?

Re: 1099 DIV adjustment

Vanessa A — Wed, 23 Apr 2025 22:21:40 GMT

Yes. Since Qualified Dividends are taxable income, this would increase your taxable income and also possibly increase your tax due or lower your refund.

Re: 1099 DIV adjustment

SteamTrain — Wed, 23 Apr 2025 23:53:09 GMT

Hmmm, I disagree somewhat.

As long as the value of box 1a didn't change......and box 1b is still equal-to or lower than the box 1a value.

Then the increase in your box 1b value could lower your tax liability....because the 1b value just allows some of the dividends to be taxed at lower tax rates.

But whether it has any effect at all will depend on all your income for the year. The only way to tell if it might result in a bit of a refund would be to prepare an amended tax return to see what happens.

Don't amend until the original tax file ahs been processed, and any refund issued...or payment for taxes due has been paid on the original file. That original file cannot be stopped.....so the original refund, or payment due, needs to be completed.

Re: 1099 DIV adjustment

reg7040 — Sat, 26 Apr 2025 04:07:36 GMT

Yes, your explanation makes sense after looking into the real difference between total (ordinary) and qualified dividends.
Maybe not worth the effort to amend for that little bit of increase on just 1b and the possible slight reduction in tax due..
Thanks for the expert advice-