Question - James Williams is the sole shareholder of Crystal Ball Enterprises, Inc. He received a $100 dividend distribution from his corporation in the current year. Current earnings of Crystal Ball were $1,000. What reporting requirements apply to this distribution?
No reporting requirements apply because the distribution is not taxable.
No reporting requirements apply because the distribution is less than $600.
Form 1099-MISC should be filed to report miscellaneous income.
Form 1099-DIV should be filed because the distribution is a dividend and is at least $10.