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Get your taxes done using TurboTax
Not being able to see what you're seeing makes this sort of analysis difficult. And I elided right over your reference to "wages & income" reference in your original post.
But an "ISO Exercise and Hold" entry, in and of itself, should have absolutely NO effect on wages. The bargain element is simply added to regular income over on Form 625,1 line 2i, in coming to taxable income for AMT purposes. An entry on line 14 of Form 6251 suggests that the stock acquired via the ISO has been SOLD and the entry on line 14 is an adjustment as part of the AMT calculation of capital gain, recognizing that for AMT purposes your basis is higher then for regular tax purposes.
I have a feeling that you exercised an ISO, probably sold some of the resulting stock but kept some? Do you have anything on your W-2 for a disqualifying sale?
Can you lay out the details of your exercise, all the information on Form 3921, and any sales activity? That would clarify the situation. Also, if you would, could you post and "answer" here with a screen shot of that prompt "I exercised ISOs in 2018, but didn't sell the stock in 2018." That just strikes me as an invitation for double counting the AMT adjustment.
If you aren't hit by the AMT then TurboTax isn't going to include it in your income tax return "for filing." One of the big, big advantages of "desktop" over "online" is that EVERY Form, Schedule and Worksheet is ALWAYS available to you, so you can take a look at Form 6251 and see what's there even if Form 6251 isn't applicable to your income tax return.
If you did exercise an ISO in 2018, sold some and kept some then I'd advise telling TurboTax in the "Exercise & Hold" interview ONLY about the shares exercise and held, and then in the "Stocks, Mutual Funds, Bonds, Other" interview telling TurboTax ONLY about the actual shares exercised and sold. I haven't used these two interviews in years but I seem to remember that was the safest approach.
But an "ISO Exercise and Hold" entry, in and of itself, should have absolutely NO effect on wages. The bargain element is simply added to regular income over on Form 625,1 line 2i, in coming to taxable income for AMT purposes. An entry on line 14 of Form 6251 suggests that the stock acquired via the ISO has been SOLD and the entry on line 14 is an adjustment as part of the AMT calculation of capital gain, recognizing that for AMT purposes your basis is higher then for regular tax purposes.
I have a feeling that you exercised an ISO, probably sold some of the resulting stock but kept some? Do you have anything on your W-2 for a disqualifying sale?
Can you lay out the details of your exercise, all the information on Form 3921, and any sales activity? That would clarify the situation. Also, if you would, could you post and "answer" here with a screen shot of that prompt "I exercised ISOs in 2018, but didn't sell the stock in 2018." That just strikes me as an invitation for double counting the AMT adjustment.
If you aren't hit by the AMT then TurboTax isn't going to include it in your income tax return "for filing." One of the big, big advantages of "desktop" over "online" is that EVERY Form, Schedule and Worksheet is ALWAYS available to you, so you can take a look at Form 6251 and see what's there even if Form 6251 isn't applicable to your income tax return.
If you did exercise an ISO in 2018, sold some and kept some then I'd advise telling TurboTax in the "Exercise & Hold" interview ONLY about the shares exercise and held, and then in the "Stocks, Mutual Funds, Bonds, Other" interview telling TurboTax ONLY about the actual shares exercised and sold. I haven't used these two interviews in years but I seem to remember that was the safest approach.
‎June 1, 2019
8:31 AM