Liquidating distribution on 1099


12-Jul-2020 10:51

When a C corporation earns taxable income, the income is taxed at the corporate level.

When the corporation subsequently distributes that income, the distribution is generally taxed to the shareholder as a dividend.

liquidating distribution on 1099-61

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The 1099-DIV is the tax form that you receive from each company that sends you dividends (or with whom you've started a DRIP plan) if it paid you or more in dividends or withheld any taxes from your dividends (or if the company was liquidated and you received a liquidating distribution).Form 1120S is the form used for an S-corp's annual tax return.



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