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Level 2
March 9, 2025
Question

exempt-interest dividend affecting federal return

  • March 9, 2025
  • 2 replies
  • 8 views

Hello,

 

I have exempt-interest dividends reported in box 12 of a 1099-DIV form. I have this every year, but this year Turbotax is adding the amount in box 12 to my total investment/dividend income. On the 1040, the amount is shown in line 2a correctly, but the total investment income is still affected. Any solutions? Thank you. 

    2 replies

    Level 15
    March 10, 2025

    The amount in the total investment income includes all of your investment income including the tax exempt amount.  So it is being reported correctly.

     

    @sparco85 

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    sparco85Author
    Level 2
    March 10, 2025

    Thank you!!