Question

Select the correct answer from each drop-down menu.

Brian has started to invest in the stock market. What does he need to know about reporting dividend Income on his tax return?


section of a


A taxpayer's dividend Income is reported on Form BLANK.


The taxpayer must enter this amount in the BLANK section of a tax return. After all deductions have been subtracted, the amount of taxes due will be calculated based on the


BLANK.

Answer 1

A taxpayer's dividend income is reported on Form 1040. The taxpayer must enter this amount in the Income section of a tax return. After all deductions have been subtracted, the amount of taxes due will be calculated based on the tax brackets.

Step-by-step explanation:

A taxpayer's dividend income is reported on Form 1040. The taxpayer must enter this amount in the Income section of a tax return. After all deductions have been subtracted, the amount of taxes due will be calculated based on the tax brackets.

Answer 2

The words which correctly completes the sentence are;

• 1099 - DIV
• Income
• taxable income

What word correctly completes the sentence?

A taxpayer dividend income is reported on form 1099 - DIV . The taxpayer must enter this amount in the Income section of the return. After the deduction have been subtracted the amounts of taxes due will be calculated based on the taxable income.

Hence, a taxpayer is an individual who pays the compulsory levy on income and goods in a country.

Complete question:

A taxpayer's dividend Income is reported on Form ____. The taxpayer must enter this amount in the _____ section of a tax return. After all deductions have been subtracted, the amount of taxes due will be calculated based on the _____.