Should I Report The Dividend Income That Was Incorrectly Reported To Me On Form 1099-DIV?
In order to avoid any future problems and to avoid any mismatching reports with the IRS, you should include this amount on IRS Schedule B, both as a positive and negative amount. Enter the Form 1099-DIV amount on Schedule B, line 5 as income. Enter the same amount as a negative adjustment on Schedule B, line 5 and enter "Nominee Distribution" as the negative adjustment description. Speak to your local CPA if you have any questions about the reporting of this incorrect dividend income.
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