Unable to list the name of the Nominee Distribution on Schedule B

[pcteddyb]

Working on final tax return for Mom.  Dividends were included on 1099-DIV from broker under SSN and December amount needs to be Nominee Distribution.  I was able to do the "not common" in the step by step and mark the box and I have the amount and TurboTax shows "Nominee Distribution".  HOWEVER, I am not able to change that line or to type the required additional information on the line below it.  I understand I need to show the name and the EIN so the IRS can cross-reference.  The EIN won't need to file a return for 2025 because it is less than $600 but I still need to do the Nominee Distribution because she passed on the 28th and the dividends were paid on the 31st.  How do I type this additional information (I REALLY want to e-file).  NOTE:  I do not wish to do K1's - I want the estate trust EIN to pay the taxes (for the 2025 DIV and the 2026 DIV - which is more than $600 so will file in 2027)

[Mike9241 · Accepted solution]

TurboTax only allows the amount for the nominee adjustment. 

The nominee is supposed to issue a Form 1099-DIV to the beneficial owner. This step must be executed by January 31st of the year following the dividend payment, mirroring the schedule of institutional payers. The nominee is responsible for reporting the exact amount of the dividend, including ordinary and qualified dividends, that was received on the beneficial owner’s behalf.

[VolvoGirl · Accepted solution]

Whoever's ssn is on the 1099 enters the whole amount on their return. Then after you enter it, on the next page it will ask - Do any of these uncommon situations apply and pick the first one, I need to adjust the interest reported on my form.

Then on the next page fill in their amount as a POSITIVE number and pick the first reason "I received all or part of this for someone else".

You can fill out a 1099DIV to give them. You will need a 1099DIV form and the 1096 Transmittal. If you have the Online Premium version or the Desktop Home & Business you can use Quick Employer Forms to fill them out and efile.

IRS Form 1099DIV
https://www.irs.gov/pub/irs-pdf/f1099div.pdf

IRS Transmittal 1096
https://www.irs.gov/pub/irs-pdf/f1096.pdf