1099 div

[scottashelton]

how do i report 1099 div to irs when it is on someone elses tax id

[VolvoGirl]

Sound like you are asking about nominee interest.

Here's how to split the 1099Div for Nominee Interest.  Enter a 1099-Div under

Federal Taxes tab

Wages & Income

Interest and Dividends

Dividends on 1099-DIV- Click the Start or Update button

Whoever's ssn is on the 1099 enters the whole amount on their return.  Then at the bottom of the entry screen, pick the second one "I need to adjust the amount."

Then on the next page fill in the amount as a POSITIVE number and pick the first reason "I received all or part of these dividends for someone else".

Then on the other person's return you enter it as a 1099-Div and put  the amounts in the boxes..

[Hal_Al]

You don't need an actual IRS form to report your income. Enter at the 1099-DIV screen, in TT, using your own records.

The harder question is: what does the person with his tax ID on the 1099-Div do to avoid an IRS inquiry for unreported income.  He reports the income on Schedule B than takes a "nominee" deduction on Sch B.  The TurboTax interview can handle this. Note the follow up screen after entering info at the 1099-Div screen "Tell us if any of these uncommon situations apply to you".  The use selects "I need to adjust these dividends".

[scottashelton]

The tax ID was for my mother who died in 2018 and I filed for 1310.  Now I have another 1099 div for her that was earned after her death.  The tax is in fact mine and the investment firm will not change the tax id to me.

[scottashelton]

The tax ID was for my mother who died in 2018 and I filed form 1310. Now I have another 1099 div for her that was earned after her death in 2019 . The tax is in fact mine and the investment firm will not change the tax id to me.  I tried to start a new tax return for my mother in 2019, but it asked for a date of death in 2019.  So I can't move forward unless I change the date.  Any suggestions on how to proceed?  It feels like I need to fix something on her end and add it to my return.

[DeanM15 · Accepted solution]

Because you received the money, you need to declare the money on your return. Hopefully, you have solved the issue of future 1099-DIVs with the broker. 

Enter the 1099-DIV as if it was yours. If your mother's 1099-DIV is less than the filing requirement for 2019, odds are you will not hear from the IRS. 

[Hal_Al]

Just put it on your return. Enter at the 1099-Div screen. 

See; https://ttlc.intuit.com/community/after-you-file/discussion/what-to-do-with-a-2016-w2-for-a-taxpayer...

[dudgeonja]

I received a 1099-DIV from my Broker, however, I never received any money. Do I have to report this?

[DMarkM1]

You need to contact the issuer of the 1099-DIV and get it corrected.  The IRS received the same form so they will be looking for this income on your tax return to reconcile in their records.  

[Hal_Al]

Yes.  You did receive the money. It was credited to your account, most likely in the form of additional shares.

[dudgeonja]

I received 2 different answers, one yes and one no. Who is right? Thank you

[Hal_Al]

They're both "right" depending on the details.

One answer assumes you got an erroneous 1099-Div.  The other assumes you just don't understand  how re-invested dividends work.  Statistically, it's "the other".

[VolvoGirl]

@dudgeonja   The dividends probably stayed in the account and bought more shares for you.  Check your account statements.  Ask your broker or bank if the dividends are being reinvested or where they went.  If they buy more shares then when you sell the shares that is your cost so you won't pay tax on the cost again.  It's just like if they sent you a check for the Dividend and then you sent it right back to buy more shares.