DQOTD: Vanguard Consolidated Tax Info?

[Midpack]

I just got this doc from Vanguard for the first time in my life, and I may be confused. I use TurboTax and I have entered $ for all the 1099-DIV boxes for EACH holding every year of my life. It appears I won't be getting a 1099-DIV that shows me that breakout for each holding any more, only the consolidated form that shows the grand totals for 1a, 1b, 2a, etc.? So I don't have to report for each holding any more, and I can wipe out all that detail in TurboTax from now on?

It's kinda nice to have all my tax forms in one doc, but the lack of detail without me putting it all together manually, comes as a surprise. Did I miss something?

 

[jebmke]

The details follow the first page of summary. Should all be there. Mine always has detail in subsequent pages. Normally the details only needed for state return adjustments like Treasury interest and muni interest.

For Federal return it is rarely necessary to break the summary totals into details for entry. I have never needed to do this.

 

[RE2Boys]

You must have convertedyour Vanguard account from a mutual fund only account to a brokerage account during 2021. The old described detail tax reporting was the way Vanguard handled the mutual fund accounts, the brokerage statement totals all the dividends together. Often, the year of conversion from mutual fund account to brokerage account you may have two separate tax reporting documents from Vanguard, one for each type of account even if your holdings are the same. If you received any distributions before the conversion, the same mutual fund holding may be reported to the IRS on two separate documents.

 

[cathy63]

Brokerages usually issue one 1099-DIV per account. It sounds like the old way was one 1099-DIV per fund? TurboTax will import it for you, no need to type it in.

 

[audreyh1]

That’s the difference in tax reporting between a brokerage account and mutual fund only account at Fidelity as well. I prefer the consolidated brokerage account reporting.

We import all our 1099-DIV info into TurboTax.

 

[Midpack]

Thanks everyone! If the IRS doesn’t need/want the fund details, I’m more than happy to provide just one entry for 1099-DIV 1a, 1b, 2a, 5, 7 & 12. The consolidated tax info may give me everything I need in one place vs several docs before. I may be wrong but I think it was already a brokerage account, converted to a trust last year - that may have triggered the change. All these years I thought entries by fund were required…

 

[PaunchyPirate]

I find the Vanguard 1099-DIVs to be accurate and providing almost everything I need for TurboTax filing. They are indeed summed up for all investments and that's all you need to enter. This year, they actually added more supporting information to mine. They now break out how much the bond funds "Government Obligation %" is for Tax Exempt funds they break out the % for each state, which helps file the State income tax. Both of these provide data for TurboTax to use.

All this previously was only found by downloading supporting tax docs from their website (which you can still do).

Also, since they provide only percentages, you still have to do the multiplication to the dollar amounts that TurboTax wants for these values. But it's better than a stick in the eye.

 

[rk911]

I just got this doc from Vanguard for the first time in my life, and I may be confused. I use TurboTax and I have entered $ for all the 1099-DIV boxes for EACH holding every year of my life. It appears I won't be getting a 1099-DIV that shows me that breakout for each holding any more, only the consolidated form that shows the grand totals for 1a, 1b, 2a, etc.? So I don't have to report for each holding any more, and I can wipe out all that detail in TurboTax from now on?

It's kinda nice to have all my tax forms in one doc, but the lack of detail without me putting it all together manually, comes as a surprise. Did I miss something?

i did the same in years past but last year, and now this year, the consolidated 1099-x form simplifies the job. i now have just one entry in TT's 1099-DIV section. if you want a breakdown by fund you'll find that on subsequent pages.

 

[W2R]

I just let TurboTax import the info from Vanguard that it needs, and then print out the Vanguard forms for my own records. Maybe I've been doing it wrong all these years.

 

[RobbieB]

I always type it in. TT already has the frame work, so just fill in the blanks.

 

[Mulligan]

I just let TurboTax import the info from Vanguard that it needs, and then print out the Vanguard forms for my own records. Maybe I've been doing it wrong all these years.

If you are, I am too. Not that I know anything, I just thought you were supposed to import the data, so that is what I have been doing anyways.

 

[Peter]

Nothing wrong with importing the data. But typing it into the forms may make it easier to understand how the data affects your final tax bill.

 

[audreyh1]

Ours is always way too long to type in! Plus likely to make entry errors.

I always reviewing the tax calcs anyway.

 

[Sunset]

Ours is always way too long to type in! Plus likely to make entry errors.

I always reviewing the tax calcs anyway.

I'm guessing you change your password after importing the data ?

I've never imported as I thought one had to provide their login info.

 

[JoeWras]

Aside from the brokerage vs MF style, the actual 1099 for the brokerage has a different format this year.

 

[grasshopper]

I'm guessing you change your password after importing the data ?

I've never imported as I thought one had to provide their login info.

You don't login Vanguard to download your 1099 into TT. Just your account number and a document ID supplied on your 1099.

I prefilled my 1099 info before the TT download into my return. Had a match and I then deleted the info I typed in and left the download.
.

 

[PaunchyPirate]

I've been importing from Vanguard since I opened my account 6 years ago. I use TurboTax. As mentioned above, you do NOT enter your Vanguard username and password in order to do this. You need a copy of the printed 1099 form in order to import. On that printed form, there is a unique document ID. You enter the unique document ID plus your account number (which is also on the printed document).

After import, I review the data on the TurboTax screens and verify it matches the printed document. It always has. Then, in subsequent screens in you may need to enter additional information, depending on your holdings and sale activities.

Things you might need to enter manually are amounts for portions of dividends/interest from government obligations, tax-exempt amounts applicable to your own state, cost data from the sale of transactions that Vanguard didn't have the data for, etc.

 

[Mulligan]

You don't login Vanguard to download your 1099 into TT. Just your account number and a document ID supplied on your 1099.



I prefilled my 1099 info before the TT download into my return. Had a match and I then deleted the info I typed in and left the download.

.

I do not remember doing all that. I think I just hit an important link put my user id and password in, and it just dumps into Turbo.

 

[prototype]

I have been importing my Vanguard Tax info using TT for ~6 years (After Tax Brokerage account). Just did the import a couple of days ago for my 2021 taxes. IIRC for previous years I had to use my actual login credentials (Username and password). This year I had to use my account number and a document ID which actually made me a little more comfortable doing the import.



Just did a quick compare and the imported info appears to matches the downloaded printout of the consolidated tax form from Vanguard website.

 

[audreyh1]

I'm guessing you change your password after importing the data ?

I've never imported as I thought one had to provide their login info.

Before. Then again after.

 

[grasshopper]

Could be different accounts get different ways to download.

Here is the first page to my 1099.

We are pleased to provide you with the enclosed Tax Information Package to assist in completing your Income Tax Return.
Amounts shown on the 1099 forms enclosed should be reported on the appropriate schedules of your Federal Income Tax
Return and, if applicable, State Income Tax Return. IRS Instructions are included for each 1099 form at the end of this
package. It is important to note that amounts shown as "Not Reported to the IRS" may still be needed in preparing your tax
return.
Document ID: you will find your Document ID located in the header of the first page of your tax form. This ID is unique to this
tax form and will simplify the upload of your tax information in a secure manner to various tax reporting applications (Turbo
Tax and H&R Block).

 

[audreyh1]

I like this new document ID method!

 

[SecondCor521]

I am preparing taxes this year for two different individuals who both have Vanguard taxable accounts. I think one has the old style account and one has the new style account.

On the old style account, that person has three different mutual funds, the payer EIN is different for each mutual fund, and I've entered it into the tax software with three different entries - one for each EIN.

On the new style account, that person has several different mutual funds, but it's all under one payer EIN and I just make one entry in the tax software under "Vanguard Marketing Corp" EIN 23-2019846.

ETA: I went and looked around the IRS.gov site to see if they gave specific advice on this and couldn't find anything other than that they say to list by payer, so I think one line per payer EIN makes sense.

 

[BarbWire]

I have been downloading the VG Brokerage 1099's for several years. The document had the total amounts for boxes (1a, 1b) etc like on a paper 1099, but also include a box-entry breakdown for each holding (eg, VTI, VXF). That is not there this year; the format is completely different!

THE BIG MISSING: in previous years there was also a page titled "FOREIGN TAX PAID" which showed Foreign Tax (Box 7 , Form 1099) as well as the breakdown of Foreign Income and QDI eligible foreign income for holdings such as Total International Stock, VEU, etc. That page is missing.

Instead I have a page that shows foreign source income percentages (total and Qual and Inc Adj) -- Is that percentage of gross dividends and distributions, or net of the foreign tax paid? (answer: gross). Grrr. Digging through Bogleheads now where they are also complaining about this changed format!