Does Turbo Tax Deluxe handle Qualified Dividends? I entered my 1099-Div info Box 1a and 1b and it just added all the div as ordinary income?

[Anita01]

Yes, it does.  You may be looking at an income summary screen that shows the gross dividend amount but that's just an income display to show which forms you've already entered.  You can double check the qualified dividends correctness by looking at the  1040.  Click on Forms in the upper right, then click on the 1040 from the list of forms in your return that appears on the left  

Remember also that the change in tax owed or expected refund may be more than you expected because additional income raises your Adjusted Gross Income for the year, and that can lead to many other changes in your tax return besides just incremental tax on the additional income.