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Level 2
posted Mar 10, 2021 7:06:36 PM

Nonqualified and Qualified foreign dividends

The 1099 for a trust shows foreign tax paid. To support this information, the document also includes Nonqualified and Qualified foreign dividends and the total foreign dividends. Which of these three values do I enter for "Foreign Dividends Received"? The help on this topic doesn't help.

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1 Best answer
Level 15
Mar 10, 2021 9:28:21 PM

@wdhanig  you will need to report  "total foreign dividends  "   and the total foreign taxes paid  for purposes of foreign tax credit.  Note that usually   you do not have  qualified foreign  dividend but if you do , this may have to be broken out  and included along with any capital  gains. Suggest reading through instructions for form 1116 -- it specifically covers  foreign tax credit for trusts/estates.

Is there more I can do for you ?

2 Replies
Level 15
Mar 10, 2021 9:28:21 PM

@wdhanig  you will need to report  "total foreign dividends  "   and the total foreign taxes paid  for purposes of foreign tax credit.  Note that usually   you do not have  qualified foreign  dividend but if you do , this may have to be broken out  and included along with any capital  gains. Suggest reading through instructions for form 1116 -- it specifically covers  foreign tax credit for trusts/estates.

Is there more I can do for you ?

Level 2
Mar 10, 2021 10:51:40 PM

Thanks! I'll look at form 1116.