Hello,
I have a related question on how to report 3 promotional stocks I received from Webull for free in 2022. Webull's form 1099-MISC reports 0 in line 3 "Other Income." The statement from the corresponding transaction shows that I bought the stocks for $0.00001. However, the actual market price of the stocks when they were given to me was a few dollars (~$1 for one of them and ~$5 for the other couple). This help article from Webull's website states that free stock will be reported in Form 1099-B once it is sold with a $0 cost basis. I still do not sell the stocks.
Does this mean I do NOT have to report the gifted stocks as "other income" in my 2022 taxes? In other words, once I sell them, I will report the entirety of the proceeds as capital gain.
Is this correct? Is Webull reporting things correctly?
