Jen may be able to report her capital gain distributions directly on Form 1040. All the following are situations which would allow Jen to report capital gain distributions directly on line 13 of Schedule 1 (Form 1040) except:

a) The only amounts the taxpayer would have to report on schedule B are capital gain distributions from box 2a of Form(s) 1099-DIV.

b) The taxpayer does not have an amount in boxes 2b, 2c, or 2d of any form 1099-DIV.

c) The taxpayer is not required to file Form 4952, Investment Interest Expense Deduction, or if the taxpayer must complete Form 4952 and the amount on line 4g of that form includes any qualified dividends, that amount also includes all the net capital gains from the disposition of property held for investment.

d) The taxpayer received $10,000 proceeds from the sale of 50 shares of stock.

Answer rating: 100% (QA)

Option d is correct If a capital asset is sold such as stock ... View the full answer