I found the answer:
ESPP qualified/disqualified disposition are exempt from medicare tax. See page 4 of first paragraph here - https://communications.fidelity.com/sps_library/docs/bro-tax-espp-click.pdf
Below calculation holds true for my case:
Box 5 = Box 1 - $ESPP disposition + Box12(D)
Also see https://turbotax.intuit.com/tax-tips/investments-and-taxes/empl[product key removed]ase-plans/L8NgMF...
