Box 1a and 1b on 1099-DIV

Hello.

While typing in Box 1a and 1b from 1099-DIV, there was a note next to the term Qualified Dividends (Box 1b) that says, included in Box 1a.

So, does that mean I don't enter the amount shown in box 1b or do I subtract that value and enter the difference in Box 1a?

Thanks for reading.

kelley

294

Level 7

Apr 9, 2022 1:30:10 PM

Enter the amount shown in box 1(b). Qualified dividends are a part of dividends but are shown separately so that you get the benefits of a lower tax rate.

Qualified dividends are ordinary dividends that meet specific criteria to be taxed at the lower long-term capital gains tax rate rather than at a higher tax rate for an individual's ordinary income. That is why it s it is shown in the box I(b).

Level 3

Apr 9, 2022 3:19:37 PM

Thank you for your response. I appreciate your time.

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Box 1a and 1b on 1099-DIV