I received mail from IRS stating i missed to file all stock incomes in my filing. I remember i included all the securities on etrade. Now its been more than 1 year

[paramasivan-p]

i received mail from IRS stating i missed to file all stock incomes in my filing. I remember i included all the securities on etrade. Now its been more than 1 year and i dont remember if i missed or its problem on turbotax software which caused the issue. I filed with peace of mind option.This is for year 2017. Will Turbo tax help me on this matter since i filed with audit defence.

[mesquitebean]

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@paramasivan-p wrote:
 Will Turbo tax help me on this matter since i filed with audit defence.

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If you purchased the Audit Defense product for that tax year, here's how to contact the company that handles that for assistance.

https://ttlc.intuit.com/community/using-turbotax/help/i-bought-max-or-audit-defense-and-now-i-m-bein...

So it is your 2017 return being questioned?    Review it carefully to see if you can figure out what was omitted.

You used the term "stock income."    That's a non-specific term that can mean several things.   Income/loss from transactions (capital gains/losses), dividend income, etc.

[paramasivan-p]

It states that i missed all capital gain losses . I sold lot of my RSU's and based on the letter it seems like only purchase price were reported and not gains. I am not sure i missed it or the software missed it. Not i dot penalty and interest together 5000$. Even if it is my fault, is there any chance i can waive the penalty and interest. I read on the internet that there is something call First Time waiver. I am really worried. Please let me know if i can waive this penalty incase if it is proven that mistake was made by me .

[mesquitebean]

Only the IRS can tell you if they will waive a penalty or not.  There is a formal way of applying for one.   But if you purchased Audit Defense, then you need to be guided on all this by the folks at Audit Defense, whom you should contact ASAP using the FAQ I left above.    Penalties and interests will continue to accrue until resolved, and your IRS letter may have given you a deadline to respond.    You can ask the folks at Audit Defense about the chances ot abating any penalty, since these are the sorts of things they work with every day.

As for problems with reporting the sales of your RSU's, I'll see if someone familiar with RSU's wants to comment in that regard in this thread.

@TomD8  I think you've answered some questions about RSU's before.   Do you have any suggestions for user in figuring out why his RSU's were not reported correctly?    Thanks.

[TomD8]

I suspect you may not have entered the correct cost basis when you reported the sale of your RSU shares.    The cost basis is the market value of the shares on the date of vesting.  Your capital gain (or loss) is the value of the shares when you sell them, less their cost basis.

[paramasivan-p]

Can someone help me how to enter this in turbo tax.

What i did is i put 0 for cost basis as mentioned 1099b. But added corrected cost basis provided in etrade supplemental document. 

Did i do this correct. What i have doubt is only the gain is taxable or should i include 8323(Adjustment amount)  also taxable? Please help me