for IBKR with no stock yield opt-in, i'm getting around 10% (perhaps up to 20%) of my dividends as dividends-in-lieu; overall a small part
This is for ITOT, VTI, and VXUS
One quarter, i opted in to stock yield enhancement, and my dividend-in-lieu shot up to like 50-60% of dividends. I swiftly turned it off. It could have been sheer luck, but it didn't seem right to me. Also they did NOT top me off with any additional funds for any tax hit. (unless they're gonna go that year end? i doubt it)
if you itemize taxes, you can tax deduct your margin interest from your investment income, so dividends in lieu may not matter! (NOTE: i had to correct one of the turbotax forms which didn't copy over my payment in lieu... if you need the details, i can look it up)
This is for ITOT, VTI, and VXUS
One quarter, i opted in to stock yield enhancement, and my dividend-in-lieu shot up to like 50-60% of dividends. I swiftly turned it off. It could have been sheer luck, but it didn't seem right to me. Also they did NOT top me off with any additional funds for any tax hit. (unless they're gonna go that year end? i doubt it)
if you itemize taxes, you can tax deduct your margin interest from your investment income, so dividends in lieu may not matter! (NOTE: i had to correct one of the turbotax forms which didn't copy over my payment in lieu... if you need the details, i can look it up)
Statistics: Posted by pm5987 — Tue Oct 08, 2024 11:32 pm