Wishlist: Include less common boxes on 1099-Div

[scandey]

Currently only the first few boxes from 1099-Div are included, but it would be nice to handle cases for forms that include reporting on state bonds, which are normally federal tax free (and state tax free in the particular state).

Since they aren't common, perhaps hiding the additional entries under a drop down or something may be in order to simplify the interface for the common case?

[zakpatterson]

Can you document which boxes are needed and where the information is supposed to be reported?

As in, What new UI fields are needed? What amounts are included in what boxes on what forms?

Thank you!

[tmm1]

this is a useful resource: https://personal.vanguard.com/pdf/1099DIV_FINAL_012021.pdf

• box 5: Section 199A dividends

  • feeds into QBI calculation on Form 8995, resulting in possible entry on 1040 line 13 (Qualified business income deduction)

• box 7: Foreign taxes paid (+ line 8: foreign country)

  • reported on Form 1116 to receive tax credit
  • for foreign taxes paid in multiple countries by mutual funds, the amounts can be lumped together into one entry labelled "RIC"
  • alternatively, can be used as a tax deduction on Schedule A itemized

• box 11: Exempt interest dividends

  • reported on 1040 line 2a (Tax-exempt interest)

• box 12: Specified private activity bond interest dividends

  • portion of box 11 that feeds into AMT calcuation

[tmm1]

it would be nice to handle cases for forms that include reporting on state bonds, which are normally federal tax free (and state tax free in the particular state).

the federal side of this is straight-forward: take the amount from box 11 and report on line 2a.

on the state side, we should ask the user what portion of their box 11 amount is attributable to municipal interest, specifically from their resident state. on the UI it would make sense to have a box next to box 11 for this information.

to figure out the amount, you have to look through the detailed tax statement from your brokerage, and sum together interest-exempt dividend amounts from just the funds that are in your state. some brokerage statements will contain a supplemental with these tallies, for example: