Qualified -non qualified dvidends

Forum|Forum|4 years ago
March 8, 2022
3 replies
21 views

Some of my 1099's reflect only non qualified dividends. When I enter those on turbo tax with -0- in ordinary dividends, TT tells me that the ordinary dividend amount must be equal or larger than the non qualified dividends. The ordinary dividends are of course taxable.

What is the difference between ordinary, qualified and non qualified on the input sheets of your 1099?

Thank you

Terry Stone

MayaD

Alumni - Intuit

Non qualified Dividend are also known as ordinary dividends because they get taxed as ordinary income by the IRS.

Dividends can be classified either as ordinary(non qualified) or qualified. Whereas ordinary dividends are taxable as ordinary income, qualified dividends that meet certain requirements are taxed at lower capital gain rates.

**Say "Thanks" by clicking the thumb icon in a post. **Mark the post that answers your question by clicking on "Mark as Best Answer"

Mike9241

Level 15

all ordinary and qualified dividends are reported on line 1a as a total. the portion that is qualified is entered on line 1b

Mike9241

Elaine051

Level 2

Dividends can be made up of both qualified and non-qualified dividends. So if you received a total of $500 in dividends, of which $450 were qualified, the 1099-DIV would report $500 DIVS and $450 Qual DIVS.

Qualified dividends are taxed at the lower dividends rate, but non-qualified dividends are taxed at ordinary income rates, which is higher.