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He really got rude when I asked him if this was considered a capital gain distribution, why this wasn't listed on page 1 of the dividends and distributions section of the 1099.

Ignoring the rudeness, I think we've finally got to the root of the issue. The $64.85 is not a dividend, nor it is a capital gain distribution. It should not be on a form 1099-DIV. Instead it is gross proceeds from the sale of securities, and should be reported on form 1099-B.

Capital gain distributions are a special type of dividend from a mutual fund. The fund figures out its gain or loss on selling securities, and passes any net gain to the fund owners as a captial gain distribution.

The gross proceeds (which is what you have) is only part of a capital gain calculation. As has already been discussed, its the sales price of a stock. In your case, it is for fractional shares of stock. But that's only what you received for your shares. It doesn't take into account what you paid for those shares. Once you do that, you can figure out if you have a gain or a loss. Lorenzo has given you the way to figure out what your cost is for those fractional shares.

Since your broker more than likely uses substitute forms, it may be a bit hard to decipher exactly what form they are reporting each item on. But look around anything that has the $64.85 and see if it says something about being a 1099-B.

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