Nominee Distributions Of Dividends

[TOOTER]

Stock held at brokerage house in joint names. Brokerage firm issues Form 1099-DIV for
$10,000 of Ordinary Dividends and $6,000 of Qualified Dividends. The other owner then issues s a Form 1099-B to the other owner listing $ 5,000 of Ordinary Dividends and $3,000 of Qualified Dividends along with details of the yearly activities. All of the Qualified Dividends meet the holding requirements.

My question are the Qualified Dividends received from the joint owner considered eligible to taken as Qualified Dividends?

[Bees Knees]

Yes because the joint owner actually earned the qualified dividends. The nominee rules are merely a reporting vehicle for passing the income through to the proper owner. Nominee rules only apply when the other owner actually owns the income. You cannot, for example, nominee income to a non-owner in an attempt to shift income from one taxpayer in a high tax bracket to another taxpayer in a lower tax bracket.