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JasonBat1
Returning Member

Ordinary Dividend Total and Qualified Dividends added together on 1040 Line 3b

TT seems to be calculating the tax on Ordinary Dividends and Qualified Dividends correctly, but they are added together on 1040 Line 3b. Again, the behind the scenes tax calc is right, but TT is artificially raising my AGI/Taxable Income. Specifically, Line 1a of the only 1099-DIV I have is $721 and Line 1b is $721. That's way I have entered/imported to TT, as well. However, the 1040 reads $721 on Line 3a and $1442 on Line 3b. Is the software wrong here?  

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3 Replies

Ordinary Dividend Total and Qualified Dividends added together on 1040 Line 3b

either a software bug or a problem with the import.

your the only one to date to report such an issue. 

make sure that the 1099-div hasn't been duplicated

if you only have one, delete the imported 1099-div and enter the info manually.

 

 

 

JasonBat1
Returning Member

Ordinary Dividend Total and Qualified Dividends added together on 1040 Line 3b

Just spoke with support (not a tax expert) and they insisted the forms were handing the situation correctly. Seemed more concerned with me actually filing than answering the question. 

 

I can't think of any reason for line 3b to read double my actual dividends and thus increasing my taxable income on 1040, line 15. Anyone else noticing this? Maybe I just should trust that the behind the scenes are handling it correctly. 

Ordinary Dividend Total and Qualified Dividends added together on 1040 Line 3b

I think you should delete that 1099-DIV, especially if you imported it.  An improper formatted file during the import can screw up what's being reported.

 

Instead, use your paper 1099-DIV form and enter it entirely manually...don't import, don't take a picture, don't Drag Drop from some other PDF file.

________________________

After you delete the 1099-DIV, check your box 3a,3b values again to make sure it's clear.

____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*
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