Undistributed Long-Term Capital Gains (Form 2439)
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Forms 2439 are uncommon.
Form 2439 is issued to taxpayers from Regulated Investment Companies (RICs) and Real Estate Investment Trusts (REITs) for undistributed long-term capital gains. Examples of RICs include mutual funds and exchange-traded funds (ETFs). Usually, these investments will distribute capital gains to shareholders. However, sometimes capital gains are kept in the investment, and the RIC or REIT pays taxes on them.
Taxpayers will need to report the capital gains and taxes paid on their income tax return.
You can claim the Capital Gain Credit for any taxes paid by your Form 2439 issuer.
Please remember to increase your basis in the investment by the difference between the gain you report and the credit you claim for the tax paid.
Form 2439 will be sent to the custodian or trustee of an IRA if the undistributed capital gains are in an IRA. Custodians of an IRA will need to file Form 990-T to claim a refund for taxes paid. Don't enter those capital gains here.
Don't enter a Form 2439 for capital gains included on a K-1 here. Your return will already include capital gains and taxes paid entered from a K-1.
Forms 2439 are uncommon.
Form 2439 is issued to taxpayers from Regulated Investment Companies (RICs) and Real Estate Investment Trusts (REITs) for undistributed long-term capital gains. Examples of RICs include mutual funds and exchange-traded funds (ETFs). Usually, these investments will distribute capital gains to shareholders. However, sometimes capital gains are kept in the investment, and the RIC or REIT pays taxes on them.
Taxpayers will need to report the capital gains and taxes paid on their income tax return.
You can claim the Capital Gain Credit for any taxes paid by your Form 2439 issuer.
Please remember to increase your basis in the investment by the difference between the gain you report and the credit you claim for the tax paid.
Form 2439 will be sent to the custodian or trustee of an IRA if the undistributed capital gains are in an IRA. Custodians of an IRA will need to file Form 990-T to claim a refund for taxes paid. Don't enter those capital gains here.
Don't enter a Form 2439 for capital gains included on a K-1 here. Your return will already include capital gains and taxes paid entered from a K-1.
