Dividends, Ordinary and Qualified

If you own stock in an corporation or mutual fund, you will most likely receive some dividends. This video describes the different types of dividends, how they're taxed, and where they are reported on the tax return. You'll also find out what types of other forms, schedules, or worksheets you'll need to complete when you receive dividends to assure you pay the minimum amount of tax on them.

Additional Information and Resources:

The Tax Geek on Twitter: @taxgeekusa

Other images via Wikimedia Commons

Intro Music: "Bluesy Vibes" - Doug Maxwell - YouTube Audio Library

Background and Outro Music: "A Walk in the Park" - Track Tribe via YouTube Audio Library

DISCLAIMER: This video is for educational and informational purposes only. It is not intended to render tax advice or investment advice for individual situations. If you have questions regarding your particular situation, please consult with a qualified tax or investment professional.

The information in this video is current as of date of publication, and is subject to changes enacted by Congress or the IRS.

[neddiego]

So if you have million dollars portfolio in dividend stocks & you are in lowest tax bracket you don't need to pay tax on qualified dividends?

[Sharpshooter]

The holding period requirement to make a qualified dividend is unnecessary: the Form 1099 given to you by your brokerage at will classify all your dividends as Qualfied at the end of the year, whether you held for 61+days or not