GeorgeM777
Expert Alumni

Get your taxes done using TurboTax

If you did not sell any of your RSUs, then you don't have anything to report.  You are correct in that your company sold 403 shares to cover the taxes, and that amount should already be included on your W-2.   

 

If you had sold some or all of your RSUs, you would enter what you sold first, and then as you are seeing now, TurboTax will inquire about how many of the shares were sold to cover tax withholding obligations.  TurboTax does this so that it can calculate your gain or loss on the shares you sold versus the shares the company sold.  Sometimes, there could be a small gain or loss on the shares that the company sold to cover taxes.  

 

Check the price of your vested shares, that will be your cost basis, and compare that to the price of the 403 shares the company sold.  Are they the same price?  If yes, then there is nothing to report as the company would have included the proceeds from the sale on your W-2.  If those 403 shares were sold at a price higher or lower than your cost basis, then report that sale as a regular stock trade.  Reporting the sale of the 403 shares (assuming you have to report them) as a regular stock trade will avoid the issues associated with an RSU sale.  

 

@sinha0009

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