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Level 1
posted Mar 9, 2025 3:35:36 PM

exempt-interest dividend affecting federal return

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. 

0 2 1394
2 Replies
Expert Alumni
Mar 10, 2025 3:07:29 PM

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 

Level 1
Mar 10, 2025 3:13:22 PM

Thank you!!