I received a notice from my broker that part of the dividend being paid last year was a non dividend distribution. These dividend were originally declared as qualified dividends. Does this mean we will need to file an amended return concerning these dividends? Can anyone explain this?
Start by visiting the WIN website. Click on "Investor Relations", then click on "see video for more information on the revised 1099 DIV forms for 2012". Either you or your tax accountant will have to run a new set of numbers on your 2012 taxes lowering your AGI and your Qualified dividends (if you used the "Qualified div. & cap gains worksheet" to figure your tax on line 44 Form 1040 you will have to rerun those numbers too.) The IRS wants an amended return if any "relevant" figures are changed. (Whichever those might be.)
My understanding is that this tax change will affect years 2012 and 2013 only. Also, keep in mind, these non-dividend distributions will reduce your average cost basis for when you sell any WIN shares. Good luck!
Thanks for the information. I was purchasing the shares for the qualified dividend so looks like that will not work for this stock. Do not think I will purchase anymore. If a company can't give me the correct tax information at the end of the year and forces me to file amended returns I do not need them. the company must be run by a bunch of idiots if it take them until July to figure out their tax situation.