I found the help that exactly explains this and am a bit more enlightened that I didn't pay taxes on the original employee discount and now I need to do so. I certainly am under Situation 3,Situation 3: Qualifying disposition with stock price increase between offering date and purchase date (https://turbotax.intuit.com/tax-tips/investments-and-taxes/empl[product key removed]ase-plans/L8NgMF...). I have read the example but am unclear what to do in this case. There is a discount but it's not a single discount. These are old stocks from multiple employee purchase plans. I worked for company A and Company B and had stock purchase plans from both of them. I haven't worked for either company for years (there is no relevant new W2). Company C bought Company B. Company A then bought Company C. Company A spunoff a number of companies, one of which spunoff another company which subsequently was bought for cash. Then there are the stock splits along the way. Thankfully the employee alumni association has a calculator for my cost basis that has all that cooked in. I have entered my cost basis.
The two original stock plans both had 15% discounts. Do I use that or some dilutions for all the buyouts? If I use the 15% it only amounts to $7 income since this isn't a big sale. So do I put $7 there?
Thanks for your patience in explaining this.
