Since you saw the increase in withholding, the wages and taxes withheld are being properly reported on your W-2 even though nothing appears in your box 14.
Fidelity should also provide you with a Form 1099-B for the sale of the stocks that were vested and then sold to cover the taxes. This information will be reported in the Federal > Wages & Income > Investment Income > Stocks, Cryptocurrency, Mutual Funds, Bonds, Other (1099-B) section.
Since they were sold right away, there probably should not be much in the way of a gain or loss and your capital loss should not change significantly. There may be a slight loss if you paid any commission on the sale. If the entire amount of your RSU sale is being reported as a gain, this is incorrect. To report this transaction correctly:
- In the Federal > Wages & Income > Investment Income section of your return, click Start/Revisit next to Stocks, Cryptocurrency, Mutual Funds, Bonds, Other (1099-B)
- Answer Yes and then select stocks. Import or enter your transactions manually.
- For the RSU transactions, make sure to select Yes to Do these sales include any employee stock?
- Enter the transactions as they appear on the 1099-B with RSU selected as the type of investment.
- If the basis reported on the 1099-B is not correct, you will be able to adjust it to match the supplemental information provided. If you do not have supplemental information, you will have to determine the cost basis based on the amount of the reward and the percentage of the shares you sold.
For more information on RSUs and how to report them, please see this TurboTax article.
