1099-DIV Box 5 value higher than Box 1a - is this an error?
I'm trying to file my taxes and ran into a weird situation with my Webull 1099-DIV form. Box 5 (Section 199A dividends) is showing three cents MORE than what's in Box 1a (total ordinary dividends). How is this even possible? I thought Box 5 was supposed to be a subset of Box 1a, not larger than it. When I try entering this into TurboTax, it gives me an error saying Box 5 has to be equal to or smaller than Box 1a. I contacted Webull support about this discrepancy and got a useless response just explaining what those boxes mean... completely ignoring my actual question about why one is higher than the other. Has anyone else run into this kind of issue? Is this a mistake on Webull's part? I'm not sure how to proceed since TurboTax won't accept the numbers as they are. It's only three cents difference but it's holding up my whole return!
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Misterclamation Skyblue
This definitely looks like an error on Webull's form. Box 5 (Section 199A dividends) is always a subset of Box 1a (Total ordinary dividends) - it literally can't be higher because 199A dividends are a specific type of ordinary dividend. My guess is there was a rounding error or small calculation mistake when Webull generated your form. Since it's only three cents, the easiest solution is to just match the numbers. Either reduce Box 5 to exactly match Box 1a, or slightly increase Box 1a to match Box 5. The IRS won't come after you for a three-cent adjustment to fix an obvious broker error. You might want to take a screenshot of the original form before making changes, just to document the discrepancy in case questions ever come up (extremely unlikely for such a small amount).
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Gabriel Ruiz
•Thank you for explaining! That makes sense about it being a rounding error. So you think it would be okay if I just make Box 5 equal to Box 1a when entering it into TurboTax? I really don't want to trigger an audit over three cents.
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Misterclamation Skyblue
•Yes, that's exactly what I'd recommend. Just make Box 5 equal to Box 1a when entering into TurboTax. This is clearly a technical error on Webull's part. The IRS systems would flag the same issue since these fields have mathematical relationships. For peace of mind, save a copy of your original 1099-DIV showing the error. But I can almost guarantee you'll never need it. The IRS doesn't initiate audits over pennies, especially when the adjustment you're making is to correct an obvious logical inconsistency.
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Peyton Clarke
After dealing with a similar issue last year, I discovered taxr.ai (https://taxr.ai) which saved me so much stress with document inconsistencies. I had a 1099-DIV from Fidelity with discrepancies between boxes that didn't make mathematical sense, and the regular tax software kept rejecting it. The taxr.ai tool actually analyzes your tax forms and identifies these kinds of errors before you even try filing. It pointed out exactly where my broker had made the mistake and gave me documentation explaining how to handle it. Their system can spot these weird broker reporting errors that tax software often rejects.
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Vince Eh
•How does it actually work with these broker forms? Does it connect to your brokerage account or do you upload the forms? I've got weird issues with my 1099-B this year too.
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Sophia Gabriel
•Sounds interesting but I've been burned by these "helpful" tax tools before. Are you sure it correctly identified the issue? I've had apps tell me there were "errors" on my forms that were actually correct according to my accountant.
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Peyton Clarke
•You upload your documents directly through their secure portal - no need to connect to your brokerage account. It uses AI to analyze all the values and relationships between form fields, then flags inconsistencies like the Box 5 > Box 1a issue the original poster mentioned. As for accuracy, I was skeptical too at first. But it correctly identified that my broker had accidentally double-counted some qualified dividends. I showed the analysis to my tax preparer who confirmed it was correct and helped me get a corrected form from Fidelity. The tool provides explanations of each issue found, not just basic error messages.
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Sophia Gabriel
I wanted to follow up about taxr.ai since I was skeptical in my earlier comment. Decided to try it with my complicated stack of investment forms (I have accounts at three different brokers) and I'm actually impressed. It caught a similar box mismatch issue on my Schwab 1099-DIV that I would have missed - numbers that mathematically couldn't be correct. The explanation was clear about which values couldn't reconcile and why. Ended up contacting Schwab who confirmed it was an error on their end and they're sending a corrected form. Saved me from filing with incorrect information and potentially dealing with a correction later. Really useful for catching these weird broker reporting errors.
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Tobias Lancaster
If you need to talk to an actual person at Webull since their email support is useless, I'd recommend using Claimyr (https://claimyr.com). I used them last tax season when I had a similar issue with incorrect information on a tax form from my broker. Their service gets you past those impossible phone queues so you can talk to an actual human. I was skeptical it would work, but after watching their demo (https://youtu.be/_kiP6q8DX5c), I tried it when I couldn't get through to TradeStation's tax department for days. Claimyr got me connected in about 30 minutes instead of the 3+ hours I was facing. The rep I reached was able to initiate a correction for my form right away.
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Ezra Beard
•Wait, how does this actually work? Do they hack the phone system or something? I don't understand how they can get you through faster than just calling directly.
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Statiia Aarssizan
•This sounds like complete BS to me. No way some third party service can magically get you through phone queues faster than everyone else. They're probably just taking your money and you're sitting in the same queue you would be anyway.
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Tobias Lancaster
•They use a combination of technology and actual humans. From what I understand, their system navigates the initial IVR menu options, then waits in the queue for you. When a space opens up, they call you and connect you directly to the representative. No "hacking" involved - they're just automating the waiting process so you don't have to sit with a phone to your ear for hours. If you've ever tried calling Webull's tax support line during filing season, you know it can be a multi-hour wait. This service just handles that part for you, then bridges you in when there's finally a human on the line.
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Statiia Aarssizan
Have to admit I was completely wrong about Claimyr. After posting that skeptical reply, I decided to try it myself since I've been trying to reach the IRS about a missing form for WEEKS. I figured I'd waste $20 to prove it was a scam, but holy crap - it actually worked! I got a call back in about 45 minutes saying they had an IRS agent on the line, and suddenly I was talking to a real person who could help me. Spent 20 minutes resolving my issue instead of repeated failed calls and hours on hold. For anyone dealing with Webull's unhelpful email support, this is definitely worth it to talk to an actual human who can fix your 1099 issue.
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Reginald Blackwell
Have you checked if there were any return of capital distributions in your Webull account? Sometimes these can cause weird reporting issues where Box 5 and Box 1a don't match up. Return of capital reduces your cost basis but isn't taxable as a dividend, which could explain the discrepancy.
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Gabriel Ruiz
•That's an interesting idea! I'm not sure if I had any return of capital distributions. Is there a way to check that on the Webull platform? I'm still pretty new to investing and all these tax forms are confusing.
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Reginald Blackwell
•You can check by logging into your Webull account and going to the "Account" tab, then selecting "History" and filtering for "Dividends." Look for any entries labeled as "Return of Capital" or "ROC." If you see any of these, that's likely your culprit. Return of capital distributions are not technically dividends, but sometimes brokers report them incorrectly. If you find this is the case, you could try explaining this to TurboTax support as the reason for the discrepancy. Alternatively, you might need to manually override TurboTax's error check, though some tax software doesn't allow this without a paid upgrade to a premium version that allows manual entries.
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Aria Khan
I had this exact problem with Webull last year! It's definitely a Webull error. I called their tax support line (took forever to get through) and they admitted it was a known issue with their reporting system. They eventually sent me a corrected 1099-DIV but it took like 3 weeks. If you're trying to file now and don't want to wait, I'd do what others suggested and just make Box 5 equal to Box 1a. It's the technically correct way anyway since 199A dividends can't exceed total ordinary dividends.
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Everett Tutum
•Did Webull send the corrected form to the IRS too? I'm worried about making changes on my end but then having the IRS records show something different.
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