In the United States, IRS Form 1040, line 6 is for Capital Gains. The instructions on the form say:

Capital gain or (loss). Attach Schedule D if required. If not required, check here

In order to determine whether Schedule D must be filed, I consult the Instructions for Schedule 1040, where on page 27 the condition is found:

If you sold a capital asset, such as a stock or bond, you must complete and attach Form 8949 and Schedule D.

However in the following paragraphs an exception is provided to this condition:

You don’t have to file Form 8949 or Schedule D if you aren’t deferring any capital gain by investing in a qualified opportunity zone fund and both of the following apply. 1. You have no capital losses, and your only capital gains are capital gain distributions from Form(s) 1099-DIV, box 2a (or substitute statements); and 2. None of the Form(s) 1099-DIV (or substitute statements) have an amount in box 2b (unrecaptured section 1250 gain), box 2c (section 1202 gain), or box 2d (collectibles (28%) gain

No further instructions are provided on how to complete line 6. What goes into line 6 if the exception applies? Would one just add up all amounts from all forms 1099-DIV, box 2a?


The remaining instructions are further down the page, just past Exception 2:

If Exception 1 applies, enter your total capital gain distributions (from box 2a of Form(s) 1099-DIV) on line 6 and check the box on that line. If you received capital gain distributions as a nominee (that is, they were paid to you but actually belong to someone else), report on line 6 only the amount that belongs to you. Include a statement showing the full amount you received and the amount you received as a nominee. See the Schedule B instructions for filing requirements for Forms 1099-DIV and 1096.

| improve this answer | |
  • I can't believe I missed this. I read the whole thing at least 5 times. – NingNing Dec 23 '19 at 1:26

Your Answer

By clicking “Post Your Answer”, you agree to our terms of service, privacy policy and cookie policy

Not the answer you're looking for? Browse other questions tagged or ask your own question.