I did not receive a schedule K-1 for the business and only received a schedule K form 1120-IC-DISC. Prior responses indicate the form 1120-IC-DISC should be entered under S Corps in the personal income section but it asks for the K-1 information. Am I going to the wrong section or should I request a schedule K-1 from the business?
You will not have to file this form on your tax return. You will only enter any dividends received from a corporation in thedividends and distributions section of wages and income.
To do so, navigate to the dividends and distributions section of TurboTax:
At this point, reference your Form 1120-IC-DISC.
The amount on line 5 will be entered to box 1a. And, if your Form 1120-IC-DISC reports qualified dividends (see below) you will enter that amount into 1b of the 1099-DIV section of TurboTax.
Read more about qualified dividends here: Ordinary Versus Qualified Dividends
Any portion that is not on line 5, but is on line 3 of Form 1120-IC-DISC, will go to box 2a of 1099-DIV section.
For example, On Schedule K, line 3 is 1000 and line 5 is 800. Then, on 1099-div, box 1a(1b) will have 800, box 2a will have 200.