Yes, in most cases, the cost basis for a covered call is zero. When you sell a covered call, you receive a premium, but you don’t have an initial cost basis because you didn’t purchase the option—you wrote (sold) it. If the option expires worthless, the premium received is considered a short-term capital gain.
However, if the call is exercised, the premium is used to adjust the basis of the underlying stock. If you buy back the call to close the position, the difference between the premium received and the repurchase price determines the gain or loss.
In this case, you may enter "0" to move on with the program.
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