Which tax form is used to report dividend income?

The correct response is informed by the specific purpose of each form in relation to dividend income. Form 1099-DIV is specifically designed for reporting dividend income paid to taxpayers throughout the year. This form is utilized by corporations and mutual funds to report payments made to shareholders, including dividends and any distributions that may have been made.

When a taxpayer receives dividend income, it will be reported to them on this form, providing detailed information about the total dividends received and any relevant tax information. Taxpayers then use the information on Form 1099-DIV to accurately report their dividend income on their tax return, usually included on Form 1040.

Other forms listed serve different reporting purposes. Form 1040 is the standard individual income tax return used to report overall income but does not specifically report dividends. Form W-2 is used to report wages paid to employees and any taxes withheld, while Form 1099-INT is for reporting interest income, not dividends. Therefore, Form 1099-DIV is the appropriate form for reporting dividend income.