Exempt Interest Dividends
What are Tax Exempt Dividends?
Tax-exempt interest from a mutual fund produces exempt-interest dividends when paid to the shareholder.
Are Exempt Interest Dividends Taxed?
Exempt interest dividends from mutual funds aren’t taxable, but you should report them on your return if you’re required to file. Dividends exempt from interest might be subject to Alternative Minimum Tax (AMT).
How Are Exempt Interest Dividends Reported?
Exempt interest dividends are reported to a taxpayer on Form 1099-DIV, whether or not it’s subject to AMT.
More Help with Taxable and Tax Exempt Interest Dividends
Don’t do it alone! For guidance on who pays interest dividends—and how much—contact a tax pro at H&R Block. Find a tax office location nearest you now!
Related Resources
Learn more about reporting child care income with help from the tax experts at H&R Block.
Let the experts at H&R Block help you calculate your child’s gross income with these helpful tips.
Did you sell property over the past tax year? Find out from the experts at H&R Block how to calculate cost basis for your real estate.
How should you report business income or a loss? Learn more about self-employment income, hobby loss rules and other tax issues at H&R Block.
