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ingaffney
New Member

How do I list dividends that are reinvested?

 
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2 Replies

How do I list dividends that are reinvested?

you should be getting a 1099-DIV for those.  the fact they were reinvested is only relevant when you sell the security.

 

RobertB4444
Expert Alumni

How do I list dividends that are reinvested?

Reinvested dividends are not something you report to the IRS. 

 

The IRS doesn't care what you spend your money on (mostly).  They only care that you pay taxes on it when you earn it. 

 

So the dividends you earn are taxable. 

 

If you then turn around and buy more shares in order to get more dividends, cool. 

 

If you decide to buy hats, also cool.  It's your money.  But you don't report it to the IRS.

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