Originally Posted by wab
How did you determine that? I determined that it was gross of taxes paid by looking at my statement. The distribution made to my account was exactly equal to the dividend on the 1099 - the foreign taxes paid on the 1099.
I had the $10 account maintenance fee for balances less than $10,000 thrown in there. It screwed my calculations. What you are saying is correct. That is, the 1099 box 1a "Total ordinary dividends" distribution = cash dividend actually received + foreign taxes paid. In my case, it was $110.68 = $105.75 + $4.93.
$110.68 = 1099 box 1a "Total ordinary dividends"
$105.75 = cash dividend actually received
$4.93 = foreign tax paid, as reported on 1099
My hunch is that had I owned the same amount of Pacific index through the total intl fund, my 1099 box 1a "total ordinary dividends" would have been $105.75 and foreign tax paid would have been $0.
In other words, I'd pay tax on a smaller distribution, but I wouldn't get the tax credit for the foreign tax paid.