George owns 1,000 shares of ABC common stock and 3,000 shares of Brightstar mutual fund George elects to participate in Brightstar 's dividend reinvestment plan, reinvesting his annual dividends and capital gains distributions in additional Brightstar shares George receives a $5,000 distribution fr...

11800 George must include in gross income all except the 1000 distributed by A ...

George owns 1,000 shares of ABC common stock and 3,000 shares of Brightstar mutual fund. George elects

Question:

George owns 1,000 shares of ABC and 3,000 shares of Brightstar mutual fund. George elects to participate in Brightstar's reinvestment plan, reinvesting his annual dividends and capital gains distributions in additional Brightstar shares. George receives a $5,000 from ABC and a Form 1099-DIV indicating that $4,000 of the is a and $1,000 is a nontaxable He also receives a Form 1099-DIV from Brightstar mutual fund indicating that he has a of $6,500 and a capital gains of $1,300 for a gross of $7,800 that is reinvested in 90 additional shares of Brightstar mutual fund. How much does George include in his gross income for the year?
Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Distribution
The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...