<topic sku="core" tNum="288282" author="" xmlns="x-schema:hhTopicSchema.xml"><index><title>Enter capital gains distributions</title><category>investing</category><klink type="prcdr">How do I enter capital gains distributions?</klink></index>
<content>
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<extend>
<tease>Why?</tease>
<reveal>
<p>A capital gains distribution is your share of a mutual fund's capital gains. Enter them in your investment account register to track your income and net worth accurately.</p>
</reveal>
</extend>
<ol>
<li>On the <emph>Investing</emph> menu, click <emph>Portfolio</emph>.</li>
<li>Click the account that contains the investment with the capital gains distribution.</li>
<li>Click <emph>New</emph>.</li>
<li>Enter the transaction details.</li>
<li>In the <emph>Activity</emph> box, click one of the following:</li>
<ul>
<li>If you reinvested the capital gains, click <emph>Reinvest S-Term CG Dist</emph>, <emph>Reinvest Mid-Term CG Dist</emph>, or <emph>Reinvest L-Term CG Dist</emph> (for reinvested short-, mid-, or long-term capital gains distribution), and then enter the remaining information.</li>
<li>If you didn't reinvest the capital gains, click <emph>S-Term Cap Gains Dist</emph>, <emph>Mid-Term Cap Gains Dist</emph>, or <emph>L-Term Cap Gains Dist</emph> (for short-, mid-, or long-term capital gains distribution).</li>
</ul>
<li>Click <emph>Enter</emph>.</li>
</ol>
<p variant="note">Capital gains distributions from mutual funds are subject to capital gains tax in the year you receive them, whether or not you reinvest the distributions.</p>