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Where do I enter my Alaska Energy Relief Payment in TurboTax?

by TurboTax Updated 1 month ago

Alaska shares a part of its mineral royalty income with residents every year in the form of an annual dividend. Alaska's Permanent Fund Dividend (PFD) is subject to federal taxes and is reported on Form 1099-MISC.

For 2023, the $3,284 PFD included a $662 tax-exempt Energy Relief Payment that must be subtracted from the PFD. Here's how to enter all this in TurboTax:

  1. Open/continue your return in TurboTax.
  2. Select Search and search for 1099-misc.
  3. Select Jump to 1099-misc.
  4. Answer Yes on the Did you get a 1099-MISC? screen.
  5. Fill out the details on the Let's get the info from your 1099-MISC screen, put the PFD amount in Box 3, and select Continue.
  6. Enter Alaska Permanent Fund Dividend as the reason for this 1099-MISC and select Continue.
  7. Select This was an Alaska Permanent Fund dividend distribution on the Does one of these uncommon situations apply? screen, then select Continue.
  8. Answer No to Do you have another 1099-MISC?, select Continue, then Done.
  9. On the Your Income summary screen, select Show more next to Less Common Income.
    1. You might have to select Show more income first.
  10. Select Start or Revisit next to Miscellaneous Income, 1099-A, 1099-C
  11. Select Start or Revisit next to Other reportable income.
  12. Select Yes on the Any Other Taxable Income? screen.
  13. Enter Energy Relief Payment as the description and -662 as the amount (including the negative).
  14. Select Continue, then Done.

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