Question

1099 DIV cash liquidation distribution cost basis

Forum|Forum|6 years ago
February 26, 2020
2 replies
0 views

I received a 1099-DIV and entered the amount in Box 9. However this does not link to anywhere that allows me to enter the cost basis of the distribution. How can I enter the cost basis so this appears on Schedule D instead of Schedule B?

J

JamesG1

Is this a complete liquidation of an investment and you are reporting the sale of the investment on Schedule D of the 1040? I assume that you have received no 1099-B or other form for this sale?

Please report the 'sale' of the liquidated investment here:

Down the left side of the screen, click on Federal.
Across the top of the screen, click on Income and expenses.
Scroll down to Investment Income and click on Show more.
Click Start / Revisit to the right of Stocks, Mutual Funds, Bonds, Other.
Click Add more sales.
At the screen Did or will you receive a 1099-B..., click No.

Now you can enter the 'sale' of the liquidated investment using the box 9 as the proceeds received for the sale. You will have to enter your basis in the investment.

See this TurboTax Best answer.

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

M

mkreeger32Author

It is a final and complete liquidation. We got a 1009-DIV with the amount in box 9 that we entered and it went Schedule B. In order to enter the basis- which is fully covered- we need to have it flow to or show up on Schedule D. It seems we should be able to enter the 1099 DIV on B but maybe we should go straight to D? and not enter it both places?

J

jkennedy1122

1099 Div indicates entering cash distribution on box 9 in Turbo tax. The amount never shows in the final form or is it taxable. Turbo Tax tells me to handle the 1099 Div cash distribution liquidation(box 9 entry) in investment income. I go to investment income and there is no place to handle the above. This appears to be a circular defect in the software.