GeorgeM777
Expert Alumni

Get your taxes done using TurboTax

Because your tax situation is similar to that of WonkyWaffle, you can avoid the screens in TurboTax that relate to the sale of RSUs, and instead enter your sell to cover shares as a regular stock trade.  This assumes that your employer has already included the value of your RSUs on your W-2 which most employers do because they are required to do so.  You might also check box 14 on your W-2 because employers will usually enter the RSU value in box 14.  If the value of your RSUs when they vested has been entered in box 14 on your W-2, that amount has already been included in box 1, Wages.  

 

Next, you need to determine your per share basis in your RSUs.  To do this, divide the value of your RSUs on the day they vested (again, see if box 14 on your W-2 contains the value of your RSUs) by the number of shares you received (the total number of shares, that is, those that you held and those the company sold to cover).  The result will be your per share cost basis.  Then, multiply the number of shares that were sold to cover by the per share basis to determine your total cost basis in the shares sold to cover.  Compare that total cost basis with the proceeds of the shares that were sold to cover.  If the proceeds are greater, you have a gain, if less, you have a loss.  Report same on your tax return.  If neither a gain nor loss, report same on your tax return.  

 

To enter your RSUs as a regular stock transaction, follow these steps:

 

  1. Sign-in to your account.
  2. Select Federal in the left margin.
  3. Select Wages & Income, left margin.
  4. On Your Income and expenses screen scroll down to Investment and Savings.
  5. Click on the drop-down arrow if necessary to reveal more options.
  6. Click Start/Revisit across from Stocks, Cryptocurrency, Mutual Funds, Bonds, Other (1099-B).
  7. At the screen Let's import your tax info, you will see the option to Enter a different way.
  8. Then select the type of investment.
  9. Continue to enter information as prompted.
  10. At the screen Now, choose how to enter your sales, make the appropriate selection.
  11. Enter your stock information. 

If you are using TurboTax CD/download, the process is very similar.  

 

Just an fyi, because you are entering your RSUs as a regular stock transaction, at the screen, Was this a sale of employee stock?, you can select No, this is not employee stock, and avoid all of the RSU related screens. 

 

@jcardoso7 

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