Recording Non-Taxable Dividends

[Mike Alexander]

--On January 2, 2010 10:15:21 AM -0700 Richard Ryder 
<rich.ryder at comcast.net> wrote:

> Can anyone suggest how I should record stock/mutual fund dividends
> that are reinvested within (U.S.) tax-deferred retirement accounts?
> Increases in the number of shares in such investment accounts do not
> result from present income. The income is only realized when taxable
> distributions are paid from the accounts. Gnucash may not care about
> the distinction between taxable and non-taxable income, but I don't
> want to have the income counted twice, once when the dividend is
> posted and again when the money is withdrawn (and the IRS wants it
> reported as "income").

Why not just record them like any other dividends but against a 
different income account?  Either use an income account specifically 
for that retirement account or a general non-taxable income account. 
There are many types of income that you might want to record in 
different income accounts.

-- 
Mike Alexander           mta at umich.edu
Ann Arbor, MI            PGP key ID: BEA343A6